Suppose that the stock index future is currently trading at 1000. The annual risk free rate is
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Suppose that the stock index future is currently trading at 1000. The annual risk free rate is 4.5% (continuously compounded) and the annual dividend yield on the stock index is 1.5%. What is the implied price of the 9-month stock index futures contracts?
Related Book For
Intermediate Financial Management
ISBN: 9780357516669
14th Edition
Authors: Eugene F Brigham, Phillip R Daves
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