Multiple Choice
Consider an equity swap of the equity index return versus six-month Libor.The current equity index is at 1100.The six-month Libor rate is currently 11.50%.There are 184 days in the given six month period.What should be the level of the index in 6 months for the net payment in six months to be zero?
A) 1100.
B) 1165
C) 1227
D) 1422
Correct Answer:
Verified
Correct Answer:
Verified
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