This is the expected or "implied" rate on a short-term security that will originate at some point in the future.

Question

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A forward rate is the expected or "implied" rate on a short-term security that will originate at some point in the future. The current yield is the annual income (interest or dividends) divided by the current market price of the security. The spot rate is the yield on a security that has a zero maturity or no cash flows. Yield to maturity is the total return anticipated on a bond if the bond is held until it matures.

This Is the Expected or "Implied" Rate on a Short-Term