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    Exam 11: The Term Structure of Interest Rates
  5. Question
    Market Participants Refer to Forward Rates as Being Hedgeable Rates
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Market Participants Refer to Forward Rates as Being Hedgeable Rates

Question 26

Question 26

True/False

Market participants refer to forward rates as being hedgeable rates. For example, by buying the one-year security, the investor is able to hedge the six-month rate that will occur six months from now.

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