Suppose the manager of the IMPAX ETF is recognized for the genius that he is, and the world now anticipates that the IMPAX ETF will likely outperform all

other actively managed portfolios, and will likely grow much faster than previously anticipated. Nonetheless, the current price of IMPAX does not change now, nor does the dividend yield change. 

What effect would this faster expected appreciation in the IMPAX ETF share price have on the IMPAX futures price?

Answer rating: 100% (QA)

The faster expected appreciation in the IMPAX ETF share price would likely lead to an increase in th... View the full answer