Monday, November 30, 2020

Look, how smart investors are making money on futures-spot mispricing

Normally, equity futures trade at a premium to the underlying spot price — called cash and carry arbitrage. That is because the futures price equals spot price plus cost of carry, which is nothing but the interest rate to fund the purchase of shares minus dividend earned.

from Personal Finance News-Wealth-Economic Times https://ift.tt/33thaxp

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