What do you think gives rise to the arbitrage opportunity

Reference no: EM133253790

Assignment:

What do you think gives rise to the arbitrage opportunity (i.e. the hedged borrowing costs are significantly lower in some currencies than in others) that you find in question (2)? Why might this opportunity persist for more than a few days? Note: You can Google to see what actually happened or just speculate on what might have happened, but you need to make sure that your speculation makes economic sense.

Reference no: EM133253790

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