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Assume you want a short position in AUD in a 1-Year USD/AUD contract. You calculate the synthetic forward at FY1USD/AUD= 0.85 and your banker quotes

Assume you want a short position in AUD in a 1-Year USD/AUD contract. You calculate the synthetic forward at FY1USD/AUD= 0.85 and your banker quotes you F1USD/AUD= 0.82. Do you choose the actual forward contract or the synthetic forward?

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Actual forward

Synthetic forward

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