Forward foreign exchange contract

Forward foreign exchange contract

Agreement that obligates an investor to deliver a specified quantity of one currency in return for a specified amount of another currency on a specified future date.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.
References in periodicals archive ?
According to court documents, in July 2000, Chia, allegedly forged company documents to apply for a revolving credit facility and a forward foreign exchange contract facility from Sakura Bank and about a month later allegedly used forged documents to obtain a loan from Fuji Bank.
This comes with a forward foreign exchange contract, which is an agreement, entered into today, to purchase or sell a fixed quantity of foreign exchange sea fixed future date.
13 The default-free swap contract is indistinguishable from an off-market, implicit forward foreign exchange contract except that it is a longer-term instrument; the average swap has a 7 to 10 year maturity.
This can be costly, as a large pension fund discovered when it hedged the interest payment on a French government bond with a forward foreign exchange contract and did not receive the payment on the payable date.
Net interest expense tumbled 30% to $21 million, while interest and other income skyrocketed 157% to $18 million, reflecting a $9 million gain related to forward foreign exchange contracts and U.S.
The employees that have been placed on forced leave were dealing with non-deliverable forward foreign exchange contracts, which are a type of over-the-counter derivative used to hedge or speculate in thinly traded currencies.
Adjusted profit before tax, amortisation, share-based payments, restructuring costs and fair value of forward foreign exchange contracts amounted to GBP50.7m, compared to GBP66.4m in the previous year.
We undertook a series of forward foreign exchange contracts each month to secure an exchange rate in line with the average rate used by Eurocontrol for translating sterling into euros.
Full browser ?