Assertion: debt instrument's payment | /r/HasAspect | higher present value
Facets:
Source sentences:
text: assume the position with the lower present value of payments, and borrow funds equal to this present value meet the cash flow obligations on the position by using the borrowed funds, and receive the corresponding payments - which have a higher present value use the received payments to repay the debt on the borrowed funds pocket the difference - where the difference between the present value of the loan and the present value of the inflows is the arbitrage profit.