Hi David,
As we have read that there are 2 type of term structure:
1) Upward sloping term structure
2) Downward sloping term structure
Upward sloping term structure is normal what we observe in industry.But I was wondering, in which circumstances a downward sloping term structure will be possible.
Can you provide some example of the same if possible.
Thanks
As we have read that there are 2 type of term structure:
1) Upward sloping term structure
2) Downward sloping term structure
Upward sloping term structure is normal what we observe in industry.But I was wondering, in which circumstances a downward sloping term structure will be possible.
Can you provide some example of the same if possible.
Thanks