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Given the information: Interest rate in US (Rh): Interest rate in UK (Rf): The current spot rate for GBP (SR): 1-year forward rate for GBP
Given the information: Interest rate in US (Rh): Interest rate in UK (Rf): The current spot rate for GBP (SR): 1-year forward rate for GBP (FR): 6% 4% $1.50 $1.52 What is your covered rate of return from UK (Rcf)? 7.4133% 2.6316% 4.6053% 5.3867%
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