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The Nelson-Siegel model is specified as Yt=B0+Bi(1-e *)+8 + --1 -B26 1-e-at -e-27 At At This equation says a spot rate at time t can

The Nelson-Siegel model is specified as Yt=B0+Bi(1-e *)+8 + --1 -B26 1-e-at -e-27 At At This equation says a spot rate at time t can be explained three factors: L S S and a Fill in the blanks in order: 1. 2. 3

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