单选题
An investor plans to exchange $1,000 into euros now, invest the resulting euros for 12 months, and then exchange the euros back into dollars at the end of the 12-month period. The spot exchange rate is €1·415 per $1 and the eurointerest rate is 2% per year. The dollar interest rate is 1·8% per year.
Compared to making a dollar investment for 12 months, at what 12-month forward exchange rate will the investormake neither a loss nor a gain?
【正确答案】
C
【答案解析】Twelve-month forward rate = 1·415 x (1·02/1·018) = €1·418 per $1