Foreign exchange trading business

Forward exchange settlement and sales

2018.01.25

Introduction

A client and the Bank conclude and sign the forward exchange settlement and sales contract through negotiation to specify the currency, amount, exchange rate and settlement date of forward exchange settlement and sales. On the settlement day, the client can apply to handle the exchange settlement and sales in the Bank based on specified currency, amount and exchange rate specified in aforementioned contract.

Classification

It can be divided into forward exchange settlement and forward exchange sales according to transaction direction.

Characteristics

Lock the forward exchange rate, maintain the value, avoid the risk and reduce the financial risk.