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Basic Question 3 of 9

Which of the following is negatively related to the forward price?

A. Interest rate
B. Carrying benefits
C. Spot price

User Contributed Comments 2

User Comment
khalifa92 carry benefits include dividends interest and convenience yield
bushi Forward prices maybe greater than or less than the underlying spot price, depending on the specific cost of carry associated with owning the underlying asset.
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Learning Outcome Statements

explain the difference between the spot and expected future price of an underlying and the cost of carry associated with holding the underlying asset

CFA® 2025 Level I Curriculum, Volume 5, Module 4.