COMMERCE 3FA3 Chapter Notes - Chapter 21: Export Development Canada, Foreign Exchange Spot, Forward Exchange Rate
10 Feb 2018
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Cross-rate: the implicit exchange rate between two currencies (usually non-u. s. ) quoted in some third currency (usually the u. s. dollar). Eurobond: international bonds issued in multiple countries but denominated in a single currency (usually the issuer"s currency). Eurocurrency: money deposited in a financial centre outside of the country whose currency is involved. Export development canada (edc): federal crown corporation that promotes canadian exports by making loans to foreign purchasers. Foreign bonds: international bonds issued in a single country, usually denominated in that country"s currency. Gilts: british and irish government securities, including issues of local british authorities and some overseas public sector offerings. London interbank offer rate (libor): the rate most international banks charge one another for overnight eurodollar loans. Swaps: agreements to exchange two securities or currencies. There are two basic kinds of swaps: interest rate and currency. An interest rate swap occurs when two parties exchange a floating-rate payment for a fixed-rate payment, or vice versa.
