Why do currencies yielding low interest rates tend to sell at a forward premium?

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International Corporate Finance Value Creation With Currency Derivatives In Global Capital Markets

ISBN: 9781119550464

2nd Edition

Authors: Laurent L. Jacque

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Question Posted: Mar 09, 2024 01:00 AM

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Why do currencies yielding low interest rates tend to sell at a forward premium?

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Currencies yielding low interest rates tend to sell at a forward premium due to the concept of inter...View the full answer

International Corporate Finance Value Creation With Currency Derivatives In Global Capital Markets

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