Download your Word document
Forward Premium or Discount Calculator result sheet — free, supported by sponsors. Your download button appears in 20 seconds.
This free download is supported by sponsors — continuing in
20
Your file is generated in your browser when you choose Download — nothing is uploaded. If this calculator returns enough numeric data, the export also includes its best-fit chart alongside the readable table.
WorldCalculate result export
Forward Premium or Discount Calculator — result sheet
Calculate the annualized premium or discount implied by a forward price relative to a spot price.
Inputs used
Results
Visual chart
Breakdown
Calculation steps
Returned data table
Formula and methodology
Formula: Annualized forward premium = ((forward−spot)/spot)/time × 100; a negative result is a discount.
The calculator reports the relative difference and annualizes it using a simple linear time convention.
This result follows the calculator's declared inputs, precision, validation boundaries, and model limits.
Input contract
- Spot price or rate — minimum 1.0E-6; maximum 1000000000000
- Forward price or rate — minimum 1.0E-6; maximum 1000000000000
- Time to forward date — years; minimum 1.0E-6; maximum 100
Worked example
| Input | Value |
|---|---|
| Spot price or rate | 1.1 |
| Forward price or rate | 1.1214 |
| Time to forward date | 1 |
Annualized forward premium ≈ 1.95%.
Assumptions and limits
- Spot and forward prices use the same quote direction and units.
- The annualization is simple rather than continuously compounded.
- This page measures an observed quote difference and does not infer interest rates or fair value.
Calculator note
Source and methodology
Use the official WorldCalculate methodology policy for the source, formula, precision, and boundary standards behind this calculator.
Planning estimate, not financial, medical, legal, or professional advice. © WorldCalculate — reuse with attribution. Built and curated by Hassan ALRowaie.
No saved result was found. Please run the calculation first, then choose Download again.