Forward Rate - Forward with Variable Payment

This is a transaction intended for clients who need to exchange available funds from one currency to another with a date of payment more than two days away, but who do not know the exact date of the conversion beforehand. It is used to hedge against exchange rate risk.

Benefits

at a suitable time you can get the binding exchange rate for your future conversion that you consider optimum, the conversion is not bound to a fixed date, but to a prearranged period during which the conversion may take place on any day during the period, however by no later than the last day of the period
you can hedge your receivable or liability as soon as it arises,
you can use the rate to calculate your financial planning.

Get acquainted

Where Forwards with Variable Payment are concerned, the transaction will be settled during a predetermined period, which is generally not longer than one month, and the due date of the transaction may not exceed one year from the date that it is arranged.

Value of the forward rate:

this is based on the level of prompt rates of exchange during the period in which the trade is concluded,
the difference between them is constituted by "forward points", the main component of which is the difference between the values of the interest rates of the currencies that are the subject of the conversion.

Terms of Use

You may use these transactions if you have a current account or personal account with us. The minimum amount for a conversion is the equivalent of 50,000 EUR.

The following is necessary for the transaction:

conclude a general agreement
set and approve the transaction limit.

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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