What is a spot transaction?
A Spot transaction lets you buy or sell a currency at the current market rate. When you complete a Spot trade, delivery of your funds generally takes place on the same day, or as soon as the necessary funds are available. Please keep in mind that a Spot transaction's maximum tenor is 3 days, after that, you will need to enter a fixed forward contract.
What is a forward contract?
A Forward contract is a type of financial hedging that helps businesses lock in a specific exchange rate up to five years in advance.
This tool helps protect your commercial margins from sudden foreign exchange risk, giving you absolute cost certainty. While locking in a rate means you cannot take advantage of subsequent movements if the market moves in your favour, the security of knowing your maximum costs often outweighs market uncertainty.
What is a fixed forward vs. a window forward?
We offer different types of Forward contracts to match your business needs:
Fixed Forward: You lock in an exchange rate for a specific, set date in the future. You can book this online.
Window Forward: You lock in an exchange rate for a specific future date, but you enjoy the flexibility to draw down funds during a set period (a "window") before that final date. For more information about this alternative, please contact your Relationship Manager.
What flexibility do I get with forward contracts?
If you choose a Window Forward contract, you enjoy complete flexibility. You can draw down any volume of your currency at any time throughout the tenor of the contract.
For more details on customising your contracts, please reach out to your Relationship Manager.
What margins or deposits do I need to pay?
To discuss your credit terms or learn more about our risk assessments, please contact your Relationship Manager
Can I change or cancel an FX trade online?
Foreign exchange transactions cannot be modified or cancelled online through the platform. Even if you have successfully cancelled an associated payment, the underlying trade itself must be managed directly by your Relationship Manager, who can look at options like anticipating, rolling, or cancelling it.
Please keep in mind that FX transactions are legally binding contracts. Because of this, cancelling a trade may incur additional costs depending on market movements.
I booked the wrong currency, what should I do?
If you have booked the wrong currency, please contact us immediately so we can help you correct it. You can reach out directly to your Client Portfolio Manager.