Which forward rates will you be quoted by the bank

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Suppose you are given the following current (risk free) Swap Curve:
Term 1; Rate 1.00%; 2Y; Rate 1.25%; 3Y; Rate 1.75%; 4Y; 2.00%; 5Y; 2.10%; 6Y; 2.40%; 7Y; 2.90%; 8Y; 3,00%; 9Y; 3.10%; 10Y; 3.15% You now want to enter into 2 forward trades: a) in 1 year, you intend to invest for 1 year (FW1,2)); b) in 3 years, you intend to invest for 4 years (FW(3,7)) Which forward rates will you be quoted by the bank?

 

 

Reference no: EM132774825

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