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If Interest Rate Parity Prevails,what Is the Return from a Hedged

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If interest rate parity prevails,what is the return from a hedged foreign currency investment?


Definitions:

Thoracic Vertebrae

The set of twelve vertebrae located between the cervical vertebrae and the lumbar vertebrae that form the midsection of the vertebral column.

Lumbar Region

The lower part of the back comprised of five vertebral bones, L1-L5, which bear much of the body's weight and are the most common site of back pain.

Lordosis

A condition characterized by an excessive inward curvature of the spine, typically in the lower back.

Articular Facets

Smooth, flat areas on the ends of bones that form joints, allowing bones to glide over each other with minimal friction.

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