Question
Article: Saskpower U.S. Debt: Hedging Currency Exposure How would you assess whether the proposed swap in the case (see case Exhibit 6) is a fair
Article: Saskpower U.S. Debt: Hedging Currency Exposure
How would you assess whether the proposed swap in the case (see case Exhibit 6) is a fair deal?
Clues: See lecture Derivatives (FX Forwards, Futures and Swaps) for a swap valuation example. Hows the value of a currency swap determined (i.e., comparing what series of cash flows)? What is the value of the swap to either party at the initiation of the swap? Does this change afterword?
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National Finance A Chinese Perspective
Authors: Yunxian Chen, Heming Yong
1st Edition
9813360917, 978-9813360914
