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Suppose the current spot rate of CHF = $0.6543. Current 1-year forward rate for CHF = $0.6808. 1-year interest rate in the U.S. = 7.5%.

Suppose the current spot rate of CHF = $0.6543. Current 1-year forward rate for CHF = $0.6808. 1-year interest rate in the U.S. = 7.5%. 1-year interest rate in the Switzerland = 3.5%. If the spot rate of CHF one year latter turn out to be $0.6400 then uncovered rate of return from the Swiss point of view would be?

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