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How to calculate the fixed rate by constructing a strip? 7. [5 points] On 3 May 2022 (today) HKD HIBOR - 3 months 4% HKD
How to calculate the fixed rate by constructing a strip?
7. [5 points] On 3 May 2022 (today) HKD HIBOR - 3 months 4% HKD FRA - 3v6 months 4.2% Assume that year basis is 365, days to spot is 2. July May June Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 1 6 7 8 13 14 15 20 21 22 27 28 29 2 3 4 5 9 10 11 12 16 17 18 19 23 24 25 26 30 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 August Mo Tu We Th Fr Sa Su 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 September October November December Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su 1 12 3 4 5 6 1 2 3 4 8 9 10 11 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 5 6 7 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 26 27 28 29 30 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Suppose a company would like to transact a spot fixed rate borrowing of HKD 1Million for 6 months using the given HIBOR and FRA. What fixed rate can the company transact?
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
