Blog Update for Test 2
Watch this space.
Heads up: a typo on the homework solutions. For problem 2-A, in calculating the forward premium the denominator had the value $0.050/SFr, but the value should be the current spot rate of $0.50/SFr. The forward premium is still 12%.
Heads up: a typo on the homework solutions. For problem 2-A, in calculating the forward premium the denominator had the value $0.050/SFr, but the value should be the current spot rate of $0.50/SFr. The forward premium is still 12%.

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