Question
Will an arbitrageur facing the following prices be able to make money if you can borrow OMR 1,000,000 or KWD 800,000? S (OMR/KWD) 1.2865 -
Will an arbitrageur facing the following prices be able to make money if you can borrow OMR 1,000,000 or KWD 800,000?
S (OMR/KWD) 1.2865 - 84
F 360 (OMR/KWD) 1.2812 - 30
Borrowing rates: i OMR = 3.1% and i KWD = 4.4%
Lending rates: i OMR = 2.6% and i KWD = 3.8%
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Personal Finance And Investments
Authors: Keith Redhead
1st Edition
0415428629, 978-0415428620
