Estimate the accuracy of your calculations

Assignment Help Financial Management

Reference no: EM13936208

Forward rates. Using interest rates (preferably LIBOR) from the newspaper or other source, and for- ward rates from the website: https://www.bmo.com/ economic/regular/fxrates.html or https://www.ft.com or using your own institutions data sources, calculate whether the one year forward premium between the British pound and the US dollar is in the right direction (note that all required data can be found in a financial newspaper such as the Financial Times):

a. Estimate the accuracy of your calculations and suggest reasons for the inaccuracy.

b. Perform the same calculation for other currencies.

Reference no: EM13936208

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