is arbitrage profit calculated by the difference of the market forward price and the arb free forward price (x) the hedge size? i do this, and i always arrive at different answers…
please help! how is arb profit in covered interest arb calculated?
is arbitrage profit calculated by the difference of the market forward price and the arb free forward price (x) the hedge size? i do this, and i always arrive at different answers…
please help! how is arb profit in covered interest arb calculated?