Forward Rate (FR) Calculator
This online tool is used to calculate the forward rate for (n1 - n2) number of years after n2 number of years.
How to calculate forward rate(FR%) :
The forward rate formula helps in deciphering the yield curve which is a graphical representation of yields on different bonds having different maturity periods. It can be calculated based on spot rate on the further future date and a closer future date and the number of years until the further future date and closer future date.
FR - Forward Rate.
S1 - Spot rate until a further future date
S2 - Spot rate until a closer future date
n1 - Number of years until a further future date
n2 - Number of years until a closer future date