What Is the Result of Combining a 1-Month Buy and Sell

question 113

Multiple Choice

What is the result of combining a 1-month buy and sell FX swap with a 2-month sell and buy FX swap?

• A) a 1x2 FRA short position
• B) a 1- against 2-month buy and sell forward/forward FX swap
• C) a 1- against 2-month sell and buy forward/forward FX swap
• D) a 1- against 2-month forward/forward long position

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