Forward contracts call for future delivery of an asset at a currently agreed-on price. The long trader

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Forward contracts call for future delivery of an asset at a currently agreed-on price. The long trader purchases the good, and the short trader delivers it. If the price of the asset at the maturity of the contract exceeds the forward price, the long side benefits by virtue of acquiring the good at the contract price. P-636

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ISE Investments

ISBN: 9781266085963

13th International Edition

Authors: Zvi Bodie, Alex Kane, Alan Marcus

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