What is the full form of "FRA"?
A. Forex Resource Allocation
B. Forward Rate Agreement
C. Financial Resource Allotment
D. For Research Assignment
Answer: Option B
Solution (By Examveda Team)
A forward rate agreement (FRA) is a cash-settled OTC contract between two counterparties, where the buyer is borrowing (and the seller is lending) a notional sum at a fixed interest rate (the FRA rate) and for a specified period of time starting at an agreed date in the future.This Question Belongs to Abbreviations >> Finance Abbreviations
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