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phileas007
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Joined: May 15th, 2005, 1:48 pm

Fund transfer pricing

March 8th, 2010, 5:26 pm

Has anyone experience of Fund transfer pricing not based on wholesale cost of funding (ie benchmark+own credit spread) ?Also how woudl you you calculate the FTP for invest banking unit? For instance would you charge the unit with overnight rate while it is dealing with negative basis trades? True those trades could be easily and quickly unwound but seems to me quite riskyThanks in advance