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Currency Options

Transactions intended for clientele who need to exchange available foreign money from one currency to another and at the same time hedge against exchange-rate risks. You have the right to request that the underwriter provide a rate arranged beforehand on the day of maturity of a put or call option for a particular amount of foreign currency.



Benefits

Hedging foreign money against unfavourable fluctuations of rates. As opposed to forwards, it is possible to participate in favourable rate developments.



Get Acquainted

With currency options:


  • You have the right (though not the obligation) to request that the underwriter provide a rate arranged beforehand on the day of maturity of a put or call option for a particular amount of foreign currency,

  • As opposed to fixed term rates, you have the option of waiving the performance of the option and implementing a given conversion on a prompt market if trading on that market has more advantageous conditions in comparison to the option rate agreed on beforehand,
  • you may take advantage of its tradability throughout the entire duration of the period between its subscription and maturity.

The price of an option is a premium:


  • a fee that you pay to the underwriter two working days after the day of the agreed trading,
  • generally expressed as a relative quantity of crowns per unit of foreign currency from the amount to which the relevant conversion is bound,
  • the total crown cost is equal to the sum of the amount of the foreign currency and the relative quantity of crowns. 

Basic types of options:


  • call - an option to purchase a currency,
  • put - an option to sell a currency,

Terms of Use

These transactions can be used if you have a current or personal account in our bank. The minimum amount for concluding currency options is the equivalent of 100,000 EUR.


The following is required:


  • a limit must be set if you are going to sell the option
  • a general agreement must be concluded

Would you like to learn more? Call 844 117 711. The service is available on working days from 8.45 a.m. to 4.30 p.m.

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