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Forward rates language update

August 8th, 2014

The SOA has clarified that when forward rates appear on the exam it will be with the following language:

Forward rate: An m-year spot rate that comes into effect t years in the future will be referred to as the “m-year forward rate, deferred t years” or as the “m-year forward rate, starting in t years”.

This appears in the notation and terminology note for the FM exam, which can currently be found at the following URL:


We have updated our practice problems and sample exam problems to reflect this language. You may want to refresh your pdf file collection for the seminar at this time. If you find any problems that look like they don’t use this language, please let us know.

Lee G. Uncategorized

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