George Seby is thinking about doing some speculating in interest rates. He thinks rates will fall and, in response, th
Posted: Sat Feb 26, 2022 9:05 am
George Seby is thinking about doing some speculating in interest
rates. He thinks rates will fall and, in response, the price of
Treasury bond futures should move from 89-15.3, their present
quote, to a level of about 93. Given a required margin deposit of
$1,030 per contract, what would George's return on invested
capital be if prices behave as he expects?
1. If prices behave as he expects, George's return on invested
capital will be ___%.
rates. He thinks rates will fall and, in response, the price of
Treasury bond futures should move from 89-15.3, their present
quote, to a level of about 93. Given a required margin deposit of
$1,030 per contract, what would George's return on invested
capital be if prices behave as he expects?
1. If prices behave as he expects, George's return on invested
capital will be ___%.