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Author Topic: Solutions Triangular Arbitrage  (Read 25270 times)

Offline Florian_Hirschmann

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Re: Solutions Triangular Arbitrage
« Reply #105 on: July 03, 2009, 03:10:50 pm »
Dear Mr. Azarmi,

my homework is attached.

Kind regards,
Florian Hirschmann

Offline zxmgh07

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Re: Solutions Triangular Arbitrage
« Reply #106 on: July 03, 2009, 04:24:26 pm »
homework attached

Offline mary1405

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Re: Solutions Triangular Arbitrage
« Reply #107 on: July 04, 2009, 12:27:22 pm »
homework attached!
m. mueller

Offline TK8981

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Re: Solutions Triangular Arbitrage
« Reply #108 on: July 05, 2009, 01:25:17 am »
Hello Prof. Azarmi,

i emailed you my triangular arbitrage homework several weeks ago instead of posting it here on forum.
Now i also attached the homework.
Sorry for the delay.

Kind regards,
TK8981  
« Last Edit: October 28, 2011, 03:31:09 am by TK8981 »

Offline paula.schliessler

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Re: Solutions Triangular Arbitrage
« Reply #109 on: July 06, 2009, 05:43:46 pm »
Homework attached
Best regards
Paula Schliessler

Offline Borislava Ivanova

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Re: Solutions Triangular Arbitrage
« Reply #110 on: July 29, 2009, 09:21:32 pm »
Please find my homework attached.

Best regards,

Borislava Ivanova

Offline ElisabethBohnert

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Re: Solutions Triangular Arbitrage
« Reply #111 on: August 01, 2009, 10:52:08 pm »
Had to correct it....
Elisabeth

Re: Solutions Triangular Arbitrage
« Reply #112 on: August 03, 2009, 05:10:13 pm »
Prep attached

Many thanks & best regards

Wilhelm Hammes
3164503

Offline Arrow

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Re: Solutions Triangular Arbitrage
« Reply #113 on: August 05, 2009, 11:32:02 pm »
Hello,

i reworked my homework. Some comma were in the wrong place. The examples and the results are the same.

Best regards,

Michael Wagner

Offline megirad

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Homework Triangular Arbitrage
« Reply #114 on: October 10, 2009, 01:41:16 pm »
Hi. I´m sorry to post the homeworks so late but I was doing an internship during the semester. I´ve just decided to write the exam and I saw that we should do homeworks:) I´m going to try to do all of them.
Please find my homework attached.

Best regards,
Madlena

Offline Melina

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Solutions Triangular Arbitrage
« Reply #115 on: October 14, 2009, 12:06:39 pm »
Hello,

my homework is attached.

Melina Bäßler

Offline xtz33

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Re: Solutions Triangular Arbitrage
« Reply #116 on: October 16, 2009, 07:19:02 am »
Hello, please find my homework attached.

Best,
Martin

Offline benjamin1979

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Re: Solutions Triangular Arbitrage
« Reply #117 on: October 17, 2009, 10:20:48 am »
Hi, please find attached my homework.

Regards Benjamin

Offline Jessica82

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Re: Solutions Triangular Arbitrage
« Reply #118 on: October 19, 2009, 12:09:33 pm »
Triangular Arbitrage Class Exercise

Exchange rates

$-based spot market quotes in London

Spot market quotes:  $ 1 = JPY 90.891
                $ 1 = € 0.6709

Implied rate:  JPY 90.891/ € 0.6709 = 1
           € 1 = JPY 135.4762


Tokyo spot market quoted rate: € 1 = JPY 136


Triangular Arbitrage

“buy cheap, sell expensive”

Assume we have € 1,000,000

1. Find out in which market EUR is more expensive.

London spot market: € 1 = JPY 135.4762

Tokyo spot market: € 1 = JPY 136

EUR is more expensive in Tokyo!

2. We take our EUR to Tokyo and exchange them for JPY.
We receive € 1,000,000 * JPY 136/€ = JPY 136,000,000

3. We take those Yen to the LSE (London Stock Exchange) and exchange them for USD.
We receive (JPY 136,000,000) /JPY 90.891/ $ = USD 1,496,297.763

4. We exchange the obtained USD for EUR at the LSE.
We receive (USD 1,496,297.763) * € 0.6709/ $ = EUR 1,003,866.169

5. Finally, we calculate our arbitrage profit.
EUR 1,003,866.169 – EUR 1,000,000 = EUR 3,866.169