Carry Trade
A currency trading strategy in which the trader borrows an amount of a currency with a given interest rate, and lends out this amount in a different currency with a higher interest rate. A carry trade generates profit if the interest revenue from lending the second currency exceeds the financing cost of the loan.
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Dollar Carry Trade
indexed currency borrowings
Carry Grid
Diversified Carry Basket
interest rate differential (IRD)
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Perpendicular Spread
back out
Federal Housing Administration (FHA)
net interest