| 释义 |
DictionarySeeforward priceforward rate
Forward rateA projection of future interest rates calculated from either spot rates or the yield curve. For example, suppose the one-year government bond was yielding 2% and the two-year bond was yielding 4%. The one year forward rate represents the one-year interest rate one year from now. You would solve the formula (1.04)^2=(1.02)(1+F). F is 6.03%.Forward RateThe interest rate or exchange rate on a forward contract with a certain expiration. Some analysts believe that forward rates accurately predict future spot rates, though others dispute this.forward rate1. The expected yield on a given fixed-income security at a particular time in the future. For example, if the yield on 6-month Treasury bills is expected to be 10.5% in a year, this yield is the forward rate on 6-month bills.2. The rate at which a particular currency or commodity may be purchased on a forward contract. |