Question: Data sourced from Ifess (Integrated Fasttime Equity System) has given the following swap rates. Think of these swap rates as spot interest rates. Swap maturity

Data sourced from Ifess (Integrated Fasttime Equity System) has given the following swap rates. Think of these swap rates as spot interest rates.

Swap maturity30 June 202130 June 2022
1 year1.752.15
2 year1.952.50
3 year2.253.05
4 year3.153.65
5 year3.253.70


(i) Using the data as given on 30 June 2021, calculate the relevant forward rates. State exactly what information each of these forward rates gives.

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