Chartered Financial Analyst Level 2
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A currency trader executes a 1-year carry trade by borrowing in Swedish krona (SEK) and investing in Singapore dollars (SGD) based on the following data:
| SEK | SGD | |
|---|---|---|
| One year MRR | 3.75% | 6.50% |
| SEK/SGD at start of trade | 7.4162 | |
| SEK/SGD at end of trade | 7.7663 |
Note: SEK/SGD is the amount of SEK per 1 SGD.
The net profit on the trade is closest to: