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Let us assume the following deposit rates: Maturity % 1 year deposit 1.6 2 year deposit 4.4 Please calculate the expected forward interest rate for
Let us assume the following deposit rates:
Maturity | % |
1 year deposit | 1.6 |
2 year deposit | 4.4 |
Please calculate the expected forward interest rate for deposit starting at the end of first year and lasting one year (one year forward rate).
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