Conclude that there is a contract to buy / sell foreign currency futures, which are contracts to buy or sell Forward Contract forward. The buyer and the seller. Agreement to buy or sell any foreign currency. In absolute numbers, the current But given a delivery date in the future. Exporters to the Forward Contract on exporters need to know the exact cost and do not want to worry or face the risk of foreign exchange. The exporters can contact the bank that exporters use. Or at banks for export. Foreign exchange forward contracts to sell or the "Book forward" which exchange rate contracts that. Will be realized in the future or when exporters receive payment from foreign buyers enough. Banks, exporters contact is like a middleman who agreed to purchase foreign currency from exporters. The bank will offer to buy the exchange rate. If the buyer is satisfied with the price offered to the bank, the bank will issue a letter to the exporter, the agreement is that the Forward Contract which the contract will specify the amount of the currency exchange rate, the bank agreed to buy. And the term of the agreement
the two sides, buyers and sellers to share the risk. And want to get the most benefit because Forward Contract can spread the risk and prevent the risk of fluctuations in exchange rates
can also be informed of the exact costs and revenues. In addition, foreign exchange futures speculation, too
, because the derivatives are identified on the future exchange rate and the amount agreed upon is how diversification has been very popular. Much It also will allow operators to plan ahead financially even then. Also know the exact costs And easier to control;
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