You have lent GBP 1,000,000 for 10 months (303 days) at 10.55 and borrow the same amount
Fantastic news! We've Found the answer you've been seeking!
Question:
You have lent GBP 1,000,000 for 10 months (303 days) at 10.55 and borrow the same amount for four months (123 days) GBP at 11.00
a) what is your forward position?
b) how could you hedge in an FRA?
Related Book For
Business Law and the Legal Environment
ISBN: 978-1285860381
7th edition
Authors: Susan S. Samuelson, Jeffrey F. Beatty
Posted Date: