Foreign Exchange Markets (FRM Part 1 2025 – Book 3 – Chapter 9) скачать в хорошем качестве

Foreign Exchange Markets (FRM Part 1 2025 – Book 3 – Chapter 9)

For FRM (Part I & Part II) video lessons, study notes, question banks, mock exams, and formula sheets covering all chapters of the FRM syllabus, click on the following link: https://analystprep.com/shop/unlimite... AnalystPrep is a GARP-Approved Exam Preparation Provider for FRM Exams After completing this reading, you should be able to: Explain ad describe the mechanics of spot quotes, forward quotes and future quotes in the foreign exchange market and distinguish between the bid and ask exchange rates Calculate bid-ask spread and explain why bid-ask spread for spot quotes may be different from the bid-ask spread for the forward quotes Compare outright (forward) and swap transactions Define, compare and contrast transaction risk, translation risk and economic risk Describe the examples of the transaction, translation, and economic risk and explain how to hedge these risks. Describe the rationale for multi-currency hedging using options Identify and explain the factors that determine the exchange rates Calculate and explain the effect of an appreciation/depreciation of a currency of a currency relative to a foreign currency, Explain the purchasing power parity theorem and use this theorem to calculate the appreciation or depreciation of a foreign currency Explain how no-arbitrage assumption in the foreign exchange markets leads to the interest rate parity theorem and use this theorem to calculate forward foreign exchange rates. Distinguish between covered and uncovered interest rate parity conditions.