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You ate an interest rate derivative dealer in a reputed bank. Your KRA is to derive maximum profis by taking on interes rate derivative positions.
You ate an interest rate derivative dealer in a reputed bank. Your KRA is to derive maximum profis by taking on interes rate derivative positions. After doing your research you arrive at the conchasion that the H-month interest rale after 6 months is expected to fall. You also expect that the 6 month interest fale after 9 months is going to rise. Keeping this view in mind You book 2 Me axaal 3-monel inkerst rate after 6 months happens to be 6.03 and the 6 -month interest rate allor 9 moneths is 6.22 . Cakulate the net profit or loss you have made for the Bank
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