Roll return - why it is unchanged? How do we know that factors for roll return are offsetting?
can you please stop calling the 2009 actual exam a MOCK!
what does roll return imply?
Roll Return = (Futures Change) - (Spot Change)
Both parts increase – given the statements in the question. (So ideally answer should have been “Cannot say” or “unclear”).
can you please SEE the actual post before writing! where did I say mock ?
CPK in a magician …he changed it :))
It was MOCK - I changed it…
cpk do you have access to our First and Last names also ?
“cost-of-carry model” is the buzz word to use while answering…i forgot unless i saw the ans…
What are the differences between
- cost-of-carry model
- cash and carry model
I don’t think much difference except in cost of carry you may physically carry untill expiration. Like commodity, that’s why we talk about convenicne yield © or storage cost (lamda)
cash & carry - may be related to cash settled future or forward market??