The annualized 6-month spot rate is 4 and the annualized
The annualized 6-month spot rate is 4% and the annualized 12-month spot rate is 6%. The annualized forward rate from the end of 6th month to the end of 12th month is 10%. Develop an arbitrage strategy using the spot rates and the forward rate.
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the annualized 6-month spot rate is 4 and the annualized 12-month spot rate is 6 the annualized forward rate from the
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