carry trade Meaning in the Cambridge English Dictionary Cambridge dictionaries logo

Meaning of “carry trade” in the English Dictionary

"carry trade" in Business English

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carry tradenoun [C]

uk   us   STOCK MARKET
a ​method of ​investing in which an ​investorborrowsmoney at a ​lowinterestrate to ​buy an ​investment that is likely to ​produce a much ​higheramount of ​profit. Carry ​trades are often used by ​investors in ​foreigncurrencies: The ​carrytrade is mostly ​driven by Japanese ​individualstrying to ​improve the ​return on their ​savings.
(Definition of carry trade from the Cambridge Business English Dictionary © Cambridge University Press)
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