Carry trade is an investment consisting of borrowing at a low interest rate to invest in an asset providing a higher rate of return, typically for less than a year.
Carry trades often involve borrowing in hard currency (such as dollars, euros, british pounds, or yen) to invest in high-risk, high-interest notes issued by third world countries.
As these investments are typically not sustainable for the issuing country, most such carry trades are cashed out (re-converted into dollars) within a year - during which net returns of 10% to 50% can often be earned.
Carry trades often involve borrowing in hard currency (such as dollars, euros, british pounds, or yen) to invest in high-risk, high-interest notes issued by third world countries.
As these investments are typically not sustainable for the issuing country, most such carry trades are cashed out (re-converted into dollars) within a year - during which net returns of 10% to 50% can often be earned.
A disastrous carry trade developed in Argentina during the Macri presidency (2015-19), as both local and foreign investors took advantage of notes with annual yields averaging over 80%. The trick was re-converting the notes into dollars before the inevitable devaluations, in which the investment could lose 20% in a day.
by ruckman December 24, 2019
Carrie Palmer Weber Middle School is one of the best middle schools ever. The grades range from 6-8. The teachers are amazing! They make you do there work but they teach it in a very fun way!
You - Hey.... my kid next year is going Weber. Any recommendations of what school to go to?
Me - Carrie Palmer Weber Middle School.
Me - Carrie Palmer Weber Middle School.
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Scientifically sad person
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