Tag Archives : foreign exchange risk

What is Covered Interest Arbitrage?

What is Covered Interest Arbitrage?

Covered interest arbitrage is the name given to an investment strategy. In this strategy an investor buys a financial instrument that is denominated in a foreign currency, and by selling a forward contract in the amount of the proceeds…

Foreign Exchange Market: Financial Instruments

Foreign Exchange Market: Financial Instruments

In this article I have explained about different financial instruments that are used in the trade of currency in…

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