arbitrage role in derivatives pricing

CFA Level I Derivatives
#1

hi guys

hope that all of you do well studing

guys im really stuck in arbitrage role in derviatives pricing, and the relationship between a RFR loan, and the oppsite positions of underlying and the derivative, please can someone help me in this point provise an example with numbers.

all the best for you brothers and sisters <3

#2

I wrote an article on pricing forward contracts that may be of some help here: http://financialexamhelp123.com/covered-interest-rate-parity-irp-pricing-currency-forwards/