Question: Exercise . Consider a swap with starting date T and a fixed rate K. For t T, show that Vfl t /Vfix t =

Exercise . Consider a swap with starting date T and a fixed rate K. For t ≤ T, show that Vfl t /Vfix t = L˜ δ,T

t /K, where L˜ δ,T

t is the forward swap rate.

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