Today, LTG GOLDROCK will share with you what is a option transaction ~
Optional Forward TransaCTIONS refers to the customer that the customer can settle at any working day at any time in the future.Business, it is a long -term foreign exchange sale that can be optional. .
Customers often fail to determine the specific date of future payment after signing a trade contract. They can only be expected to receive or pay a certain foreign exchange payment within a certain period of time.In order to prevent changes in the exchange rate during payment, customers can use banks to make optional foreign exchange trading for them . In this way, during the agreed period, customers can freely choose to settle Date.It should be pointed out that banks must consider the delivery of foreign exchange may be carried out in the most unfavorable situation, that is, on the first day or last day of the future in the future/A>.Therefore, when customers are making optional foreign exchange trading , they can shorten the uncertain time as much as possible in order to obtain more favorable long -term exchange rates .
Trading characteristics
Optional foreign exchange sales are a special form of long -term foreign exchange , and the specific date of not fixed the sessions in advance.Customers and banks stipulate that within a period of time, funds can be performed at any time delivery , and the Sabbath can be any working day during this period , Choose the right to get the Sabbath in the hands of customers.
Advantage
Using optional foreign exchange trading , customers can choose to be suitable for the Sabbath to settle funds , which provides greater flexibility for funds arrangements.
Instance
A company proposed to the bank on April 3, 2003 to buy the euro . It is expected that the foreign payment date is July 7 to August 5th, but the accurate delivery date cannot be determined .Company can be used to make optional foreign exchange trading with the bank , the delivery date is any bank from July 7th to August 5th working day ,The long -term exchange rate is 1.0728.Regardless of how the exchange rate changes, the company can choose a bank from July 7th to August 5th working day to buy the euro from the Bank of China at the exchange rate 1.0728 .
