FX Options

• Enjoy the ability to hedge your foreign exchange exposures.
• A defensive strategy for hedgers who wish to insure against their FX exposures where the FX risk is known to the hedgers and limited to the premium paid out.
• Currency Option is a contract granting the buyer of the contract the right, but not the obligation, to exchange a fixed amount of one currency for another at a fixed exchange rate at or within a specified future date.
• Basically, there are two kinds of Currency Options:
  
  1. Call option is the right, but not the obligation, to buy a currency against another
  2. Put option is the right, but not the obligation, to sell a currency against another

The price or fee in which the buyer pays the writer of the option is the premium of the option. The decision to exercise the option is dependent on the strike price versus the spot price.

• We offer a variety of structured FX options that can be customized to suit your requirements
• Examples are Target Forwards and Target Redemption Forwards providing enhanced FX rates instead of contracting on market rates