Printer Friendly
Dictionary, Encyclopedia and Thesaurus - The Free Dictionary
3,896,819,962 visitors served.
forum Join the Word of the Day Mailing List For webmasters
?
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Forward premium

    0.01 sec.
Forward premium
A currency trades at a forward premium when its forward price is higher than its spot price.


Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.
?Page tools
Printer friendly
Cite / link
Feedback
Add definition
Mentioned in?  References in periodicals archive?   Financial browser?   Full browser?
 
Eichenbaum, Northwestern University and NBER; and Sergio Rebelo, Northwestern University and NBER, Understanding the Forward Premium Puzzle: A Microstructure Approach (NBER Working Paper No.
The difference between the spot and the forward price is the forward premium or forward discount.
Because the UIP relationship is the analog to the forward premium in the foreign exchange market, these results can be compared with those in the forward premium literature.
 
 
 
Financial Dictionary
?

Terms of Use | Privacy policy | Feedback | Advertise with Us | Copyright © 2012 Farlex, Inc.
Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.