Math Finance-HW
math Finance代写 | math代写 | Finance代写 | 金融代写 | 数学代写 | 金融数学代写 – 这道题目是math Finance代做方面
- What is the difference between the forward price and the value of a forward contract?
- A stock index currently is worth 350 dollars. The risk-free interest rate is 8% per annum and the dividend yield for the stock is 4% per annum. What should the futures price for a 4-month contract be?
- If we look at the interest rate of a risk-free asset in Spain it is 5%, per annum, for a two-month period, while in the US is 2%, per annum, for the same period. The spot price for the us dollars is 0.800 euros while the futures price for a contract deliverable in 2 months is 0.810$. Is it possible to find an arbitrage opportunity?
- Suppose we have the following data: a stock with 4% yield (per annum), spot price of the stock 400$and futures at 4 months at 405$. Is it possible to find an arbitrage opport unity if the interest rate for risk-free assets is 10%(per annum with continuous compound)?
- A trader enters into a short future contract when the futures price is 50 cents per pound. The contract is for delivery of 50,000 pounds. How much does the trader gain or loss if the price at the end of the contract is (a)48.20 cents per pound; (b) 51.30 cents per pound?
- On July 1, an investor holds 5,000 shares of a certain stock. The market price is$30 per share. The investor is interested in hedging against move- ments in the market over the next month and decides to use the September Mini 500 S&P 500 futures contract. The index futures price is currently 1,504 and one contract is for delivery of$50 times the index. The beta of the stock is 0.95. What strategy should the investor use? Under what circumstances will it be profitable?