View Single Post
Old 22-07-2005, 12:17   #14
Nonpiker
Degenerate
 
Nonpiker's Avatar
 
Join Date: Feb 2005
Posts: 251
Downloads: 0
Uploads: 0
Rep Power: 4Nonpiker is on a distinguished road
Re: Interest rate differentials

bbjit,

I think one thing you may have missed is the fact that the roll rate can and do change. You are not locked in like with a forward (discount or premium points), you are subject to the daily roll rates. If something should occur and the BOE slashes rates and the BOJ hikes your 2.0%+ goes down the tubes.
Nonpiker is offline   Reply With Quote