Solution-Us treasury benchmarks, Following are U.S.

Us treasury benchmarks

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Reference no: EM133061036

Problem 1:

Following are U.S. Treasury benchmarks available on October 23, 2020:

US/T 1.125 7/31/2021	0.142
US/T 2.125 5/15/2025	0.336
US/T 4.5 2/15/2036	1.083
US/T 3.75 8/15/2041	1.376
US/T 2.875 11/15/2046	1.569

On the same day, the following trades were executed:

Issuer	Issue	Yield (%)
GE CAP FDG LLC	WMB 3.45 5/15/2025	1.785
TIME WARNER CABLE INC	CHTR 5.5 9/1/2041	3.961
GOLDMAN SACHS GROUP INC	GS.AOK 5.25 7/27/2021	0.307

Based on the above, complete the following table:

Issue	Yield (%)	Treasury Benchmark	Benchmark Spread (bps)	Relative Yield Spread	Yield Ratio
WMB 3.45 5/15/2025	1.785
CHTR 5.5 9/1/2041	3.961
GS.AOK 5.25 7/27/2021	0.307

Reference no: EM133061036

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Us treasury benchmarks

Reference no: EM133061036

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