You purchase a futures contract in euros for $170,000. The trading unit is 125,000 euros. a. What
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a. What is the ratio of cents to euros in this contract? (Divide the dollar contract size by the size of the trading unit.)
b. Assume you are required to put up $4,000 in margin and the euro increases by 3¢ (per euro). What will be your return as a percentage of margin?
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Related Book For
Fundamentals of Investment Management
ISBN: 978-0078034626
10th edition
Authors: Geoffrey Hirt, Stanley Block
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