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boland boland
wrote...
Posts: 1892
8 years ago
A Macedonian homeowner deciding for a Euro-denominated, lower rate mortgage is
A) remaining "uncovered" unless she has sub-lease contract denominated in Macedonian Denar.
B) creating debt service FX exposure for the whole life of the loan.
C) effectively initiating long term covered interest arbitrage.
D) should start seeking US dollar salary to mitigate the risk of falling behind the payment schedule.
Textbook 
Fundamentals of Multinational Finance

Fundamentals of Multinational Finance


Edition: 5th
Authors:
Read 699 times
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noxx53noxx53
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Posts: 1891
8 years ago
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boland Author
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thank you!
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