Spot rate
Spot rate is the exchange rate that applies to “on the spot” trades or, more precisely, to exchanges that occur two days following the day of trade (in other words, current exchanges).
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Spot rate. The exchange rate that applies to “on the spot” trades or, more precisely, to exchanges that occur two days following the day of trade (in other words, current exchanges).
According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),
- Spot rates. Effective exchange rates of foreign currencies for delivery on (approximately) the current day.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
