Task 3 IFM - One way arbitrage opportunities / market...

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Law of one price: Is one of the fundamental principles in economics, accordingly, it states that all equivalent assets sell for the same price. This implies that two assets, denominated in different currencies, but equivalent in all other aspects will have a single price.
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Unformatted text preview: One way arbitrage opportunities / market efficiency Interest rate parity condition Hedging risk with forward or swap contracts Effects of exchange on real interest rate...
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This note was uploaded on 11/06/2011 for the course ECONOMICS ebc2034 taught by Professor Vaartjes during the Spring '11 term at Maastricht.

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