What is a maturity spread if a three-year security has a


What is a maturity spread? If a three-year security has a yield of 5%, and a two-year Treasury security has a yield of 4.5%, what is the one-year forward rate two years from now? What is the shape of the normal yield curve? List the possible explanations for observed yield curves.

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Finance Basics: What is a maturity spread if a three-year security has a
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