Clayton Moore is the manager of an international money market fund managed out of London. Unlike many money funds that guarantee their investors a nearrisk-free investment with variable interestearnings, ClaytonMoore's fund is a very aggressive fund that searches out relatively high interest earnings around theglobe, but at some risk. The fund ispound-denominated. Clayton is currently evaluating a rather interesting opportunity in Malaysia. Since the Asian Crisis of1997, the Malaysian government enforced a number of currency and capital restrictions to protect and preserve the value of the Malaysian ringgit. The ringgit was fixed to the U.S. dollar at RM3.80

3.80/$ for seven years. In2005, the Malaysian government allowed the currency to float against several major currencies. The current spot rate today is RM 3.13489 divided by $

RM3.13489/$. Local currency time deposits of180-day maturities are earning 8.899

8.899% per annum. The London eurocurrency market for pounds is yielding 4.202

4.202% per annum on similar180-day maturities. The current spot rate on the British pound is $ 1.5817 divided by pound

$1.5817/, and the180-day forward rate is $ 1.5563 divided by pound

$1.5563/. The initial investment is pound

1 comma 000 comma 000.00

1,000,000.00.