Printer Friendly| Fixed Forward FX Contracts | Option Forward FX Contracts |
| Close out of Forward Contracts | FX Contract Rollover/Extension |
| Swapping Maturing Dates | Interest Rates – Premium & Discounts |
Usually these involve a bank and a business. When an exporter knows the exact date on which payment will be received, or the importer knows the exact date on which payment has to be made, they will enter into a fixed Forward FX contract. This is a forward contract that specifies a definite date for delivery of the currency.
For example, an
exporter who enters into a fixed Forward FX contract to provide currency on,
say, 11th September of a particular year, must fulfil the contract by
delivering currency to the bank only on that date, no matter what happens.
Similarly, an importer
who has entered into a fixed Forward FX contract to take delivery of currency
on a fixed date, must again honour his commitments on that date.
If you are importing or exporting, for expert commercial foreign exchange services, speak to us at Raphael's Bank.
Quick and easy foreign exchange deals via our branch network, treasury centres or over the Internet.
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