________ is the number of basis points that are added to the yield to maturity on a U.S.government bond corresponding to that maturity.

Question

Quizplus · Accepted Answer

Swap spread is the correct answer because it refers to the difference between the yield of a fixed-income security (such as a U.S. government bond) and the rate of the swap market for the same maturity. It essentially measures the additional yield over a risk-free rate (U.S. Treasuries) that investors demand to compensate for the risk associated with the swap.

________ Is the Number of Basis Points That Are Added