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Business, 27.11.2019 20:31 maxgeacryne5573

The yield to maturity (ytm) on 1-year zero-coupon bonds is 5% and the ytm on 2-year zeros is 6%. the yield to maturity on 2-year-maturity coupon bonds with coupon rates of 12% (paid annually) is 5.8%. what arbitrage opportunity is available for an investment banking firm?

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The yield to maturity (ytm) on 1-year zero-coupon bonds is 5% and the ytm on 2-year zeros is 6%. the...

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