Swap Rates

Suppose a 6-year swap with a notional principal of $10 million is being configured. What is the fixed rate of interest that will make the value of the swap equal to zero? (You should use the term structure of interest rates from Question 1)

Please submit your answer as a percentage rounded to two decimal places. For example, if your answer is 4.567% or equivalently 0.04567, then you should submit an answer of 4.57.



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