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Given a 3 year 10% coupon Government Bond issued on January 1st, 2010 and the following Zero Coupon Curve which is 10 basis points above

Given a 3 year 10% coupon Government Bond issued on January 1st, 2010 and the following Zero Coupon Curve which is 10 basis points above the initial one and being today April 1st, 2010


April 1st 2010 - January 1st 2011 Zero Coupon Rate: 4,1% April 1st 2010 - January 1st 2012 Zero Coupon Rate: 4,6%

April 1st 2010 - January 1st 2013 Zero Coupon Rate:5,1%


 

What is the Internal Rate of Return?

 





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