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I do my arbs different than book but I will attempt with your facts.

Without numbers, I struggle with these.

I would borrow foreign at rFC
I would convert at spot to DC
I would invest at rDC
I would covert back to rFC at forward to pay off loan.
I should have more money because I am supposed to pay 115 to get 1 DC and I only have to pay 110.

Its really obvious when you have real numbers to plug in because if you do it wrong you lose money.



Edited 1 time(s). Last edit at Thursday, May 26, 2011 at 09:34PM by stingreye.

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