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You are considering making a one-vear investment. If you invest in the US, you will earn a 2% return. The rate on a sitilar irmestment

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You are considering making a one-vear investment. If you invest in the US, you will earn a 2% return. The rate on a sitilar irmestment in Euros . .C) is 4%. this quote to make a risk-free profit? If so, how and what would be the risk-free profit from your irvestment stratesk: Assume you will barrow/irvest the equivalent of 51.000. (Hint you first need to compure the puoted forwad rate to the one implied ty interest rate parity). tione isf the above. No. There is no arbitrase coportanits

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