Forward Price Calculator Excel Template
Forward Price Calculator Excel Template
Interactive Excel Financial Model
Download, customize, and integrate into your own analysis
What's Included
- Interactive financial model with live Excel formulas
- All formulas visible and fully editable
- Professional formatting with color-coded inputs & outputs
- Formula reference sheet with variable definitions
- Step-by-step instructions sheet
- Compatible with Microsoft Excel 2016 and later
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Price range: $0.00 through $20.00
Calculate theoretical forward prices using the cost of carry model. Editable Excel template with live formulas for no-arbitrage pricing.
Online Calculator vs Excel Template
| Feature | Online | Excel |
|---|---|---|
| Instant use — no download | ✓ | — |
| Works offline | — | ✓ |
| Customize formulas & layout | — | ✓ |
| Save & share with colleagues | — | ✓ |
| Integrate into your own models | — | ✓ |
| Print-ready formatting | — | ✓ |
About This Template
Calculate theoretical forward prices instantly with this professional Forward Price Calculator Excel template. Whether you're a finance student studying derivatives, a CFA candidate preparing for exams, or a professional analyzing forward contracts, this template gives you an offline, portable tool to model no-arbitrage forward pricing.
What You Can Calculate
This template computes four key outputs using the cost of carry model:
- Forward Price F₀(T) — The theoretical delivery price that makes a forward contract have zero initial value
- Compound Factor — The growth multiplier (1 + r)^T applied to the spot price
- Premium/Discount — Dollar difference between forward and spot prices (positive = contango, negative = backwardation)
- Premium Percentage — The forward premium expressed as a percentage of the spot price
Required Inputs
Enter just three values to calculate forward prices:
- Spot Price (S₀) — Current market price of the underlying asset
- Risk-Free Rate (r) — Annualized interest rate as a percentage (e.g., enter 5 for 5%)
- Time to Maturity (T) — Contract duration in years (e.g., 0.5 for 6 months)
Methodology
The template uses the discrete compounding cost of carry formula: F₀(T) = S₀ × (1 + r)^T. This no-arbitrage pricing relationship ensures the forward price prevents risk-free profit through cash-and-carry or reverse cash-and-carry strategies. The formula assumes no benefits (dividends) or costs (storage) from holding the asset.
Assumptions & Limitations
- Uses discrete annual compounding (CFA curriculum standard)
- No dividends, storage costs, or convenience yield
- Risk-free rate is constant over the forward period
- For educational purposes only — not financial advice
Frequently Asked Questions
Yes. Unprotect the Calculator sheet and modify the forward price formula from S*(1+r/100)^T to S*EXP(r/100*T). Since the rate is entered as a percentage (e.g., 5 for 5%), include the /100 conversion. The template is fully editable.
This template covers the basic cost of carry model (no benefits or costs). For assets with known present-value dollar adjustments like a lump-sum dividend, you can subtract the PV of benefits from the spot price before entering it. For yield-based adjustments (dividend yields, convenience yields), the formula structure changes - see our Forward Price Cost of Carry Calculator Excel template for that model.
A fully interactive financial model with live Excel formulas, an Instructions sheet with usage guide, and a Formula Reference sheet with variable definitions and model assumptions. All formulas are visible and editable.
Microsoft Excel 2016 or later. The template uses standard Excel formulas only — no macros, VBA, or add-ins required.
Yes. All cells are fully editable. You can modify any formula, add your own calculations, change formatting, or integrate the model into your existing spreadsheets.
The online calculator runs in your browser for quick calculations. This Excel template gives you a portable, offline financial model you can customize, save, share with colleagues, and integrate into your own analysis.
This template is provided for educational and personal use. You may use it in your own professional analysis and presentations. Redistribution or resale of the template itself is not permitted.
You can re-download the latest version from your account or by requesting a new download link. Free downloads are limited to 5 per email address per month.
