Carry Trade Calculator

The Carry Trade calculator allows you to calculate the profit/loss resulting from the difference in interest rates between the currencies (known as SWAP ). For example, if we buy the EUR/GBP pair and assume that the British pound will have a higher interest rate than the euro, we will lose on this transaction. In practice, we bought the euro (lower interest rate) for British pounds (higher interest rate), and therefore our cost will be the difference in interest rates between the two currencies. If we took an opposing position, our SWAP would be positive.

Instruction:

Enter the currency pair you’re trading, your account’s base currency, and the transaction type (Buy/Sell). Verify the interest rates for both currencies are accurate, then enter the transaction volume and investment duration (in days).