on Dec. 2020, the spot exchnge rate betwn the Franc and dollar was 1.0585 (Dollar per Franc). Interest rates in the U.S and Switzerland were 0.80% and 0.30% per annum, respectively, with continuous compounding. The 4-month forward exchnge rate was 1.0730 ($ per SWF).
Is there an arbitrage chance, how? Using 1 Million USD, in 4 months what profit could be made through that arbitrage? If there is not an opportunity for arbitrage explain why
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