(i) In late July 2021, you as the financial manager of Simm BHD, project that your...

  

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(i) In late July 2021, you as the financial manager of Simm BHD, project that your company would require a RM9 million loan from your bank on 15 September 2021 at 3-month KLIBOR + 1%. th The current 3-month KLIBOR is 4.5% and the current 3-Month Kuala Lumpur Interbank Offered Rate Futures (FKB3) quotations are as follows. P Prices Financial Derivatives: 9:00am-5:00pm Equity Derivatives: 8:45am-5:15pm Commodity Derivatives: 10.30am-6:05pm (FGLD: 9.00am - 7:00pm) Prices displayed on this website are delayed by 15 minutes. To access real-time data, please contact your futures brokers our Information Services Vendors or subscribe to Bursa Station Prices Derivatives By Contract Code - FKB3 Contract Code No Name 1 FKB3 2 3 FKB3 Month August 2021 FKB3 September 2021 FKB3 October 2021 Sett.Price Change 95.00 94.75 94.50 2019 Holiday Calendar OI -2.00 6223 -1.50 -1.50 Vol 3,126 12423 9,213 14003 10,187 1 Indicate how many contracts you should be entered in this strategy. Show the outcome of the strategy in 1.b if interest rate rises by 2% over the next 3 months. Compute the effective interest on this loan. (i) In late July 2021, you as the financial manager of Simm BHD, project that your company would require a RM9 million loan from your bank on 15 September 2021 at 3-month KLIBOR + 1%. th The current 3-month KLIBOR is 4.5% and the current 3-Month Kuala Lumpur Interbank Offered Rate Futures (FKB3) quotations are as follows. P Prices Financial Derivatives: 9:00am-5:00pm Equity Derivatives: 8:45am-5:15pm Commodity Derivatives: 10.30am-6:05pm (FGLD: 9.00am - 7:00pm) Prices displayed on this website are delayed by 15 minutes. To access real-time data, please contact your futures brokers our Information Services Vendors or subscribe to Bursa Station Prices Derivatives By Contract Code - FKB3 Contract Code No Name 1 FKB3 2 3 FKB3 Month August 2021 FKB3 September 2021 FKB3 October 2021 Sett.Price Change 95.00 94.75 94.50 2019 Holiday Calendar OI -2.00 6223 -1.50 -1.50 Vol 3,126 12423 9,213 14003 10,187 1 Indicate how many contracts you should be entered in this strategy. Show the outcome of the strategy in 1.b if interest rate rises by 2% over the next 3 months. Compute the effective interest on this loan.

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1 While some of the tools and practices described in this MAG have been developed ... View the full answer