Question
Forward Rate as an Unbiased Predictor: Some forecasters believe that foreign exchange markets for the major floating currencies are efficient and forward exchange rates are
Forward Rate as an Unbiased Predictor:
Some forecasters believe that foreign exchange markets for the major floating currencies are "efficient" and forward exchange rates are unbiased predictors of future spot exchange rates. What is meant by "unbiased predictor" in terms of the reliability of the forward rate in estimating future spot exchange rates?
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Finance For IT Decision Makers
Authors: Michael Blackstaff
3rd Edition
1780171226, 978-1780171227
