AFP CTP Question Answer
XYZ Company is a U.S. based company that has just issued some euro-denominated bonds in London. The bonds have a duration of 10 years at a rate of 3.5% with a par value of EUR 50 million. An FX swap contract was created on the date of the issuance in EUR/USD, with a spot rate of 1.2908 and a forward rate of 1.1102. This bond is subject to what type of risk?
AFP CTP Summary
- Vendor: AFP
- Product: CTP
- Update on: Oct 21, 2025
- Questions: 1076
