Cost of Carry Calculator


Cost of Carry Calculator helps user in calculating the theoretical price of a particular Futures contract. This calculator can also be used to spot possible arbitrage possibilities, in case the current price of a futures contract deviates significantly from its theoretical price.


Cost of Carry Calculator
Below are the steps given to use Cost of Carry Calculator:
  1. Spot Price- Enter the current market price of the underlying scrip.

  2. Interest Rate (%) - Enter the Risk free Interest rate per annum (in percentage terms) in this field.

  3. Days to Expire- Enter the days remaining before the contract expires.

  4. Get Fair Price- Click on this button to get Fair Price of the contract as per the parameters provided by you in the above three fields.

  5. Reset- 'Reset' button is used to reset /empty all the fields.
Note! Formula Used => "Fair Price of Future = Spot Price * Exp (Days to Expire/365) * (Interest Rate/100)"

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