Non-Deliverable Forwards (NDFs) Explained | CFA Level 3 

In this video from the CFA Level 3 curriculum, we explore the mechanics of Non-Deliverable Forwards (NDFs). Non-Deliverable Forwards are OTC derivatives contracts that allow foreign investors to take a view on / hedge exposures to currencies that are not physically deliverable and cash settle the difference between an agreed rate and actual price (at maturity), with the settlement happening in the delivery currency of the chosen currency pair (typically USD).
For preparation resources related to FRM exam preparation, please browse over to the respective course pages:
1) FRM Part I: www.finRGB.com/courses/frm-pa...
2) FRM Part II: www.finRGB.com/courses/frm-pa...