Question
What is meant by Open interest, price ticks, price limits, intimal margin, maintenance margin and delivery options in a future contract? An investor wants to
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What is meant by Open interest, price ticks, price limits, intimal margin, maintenance margin and delivery options in a future contract? An investor wants to buy stocks of ICICI after 6 months. The current price of ICICI share is Rs 860.00 today. The investor can borrow money at nominal rate of 8% per annum The six-month futures quoting rate is Rs. 940.00. Find out arbitrage opportunity if it exits. How will you exploit the arbitrage opportunity?
What is meant by Open interest, price ticks, price limits, intimal margin, maintenance margin and delivery options in a future contract? An investor wants to buy stocks of ICICI after 6 months. The current price of ICICI share is Rs 860.00 today. The investor can borrow money at nominal rate of 8% per annum The six-month futures quoting rate is Rs. 940.00. Find out arbitrage opportunity if it exits. How will you exploit the arbitrage opportunity?
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Finance for Non Financial Managers
Authors: Pierre Bergeron
7th edition
176530835, 978-0176530839
