Questions
1) Can you describe the different types of Foreign Exchange Derivatives ?
FX Future
FX Swap (different currencies, removes exchange rate risk)
FX Option
2) What exchanges are Foreign Exchange Derivatives traded on ?
?
3) Can you describe the Foreign Exchange market ?
Largest market, round the clock trading 24 hours a day.
4) What is a Foreign Exchange Future ?
This is a forward contract that locks in an exchange rate.
5) What is a Foreign Exchange Swap ?
A swap that exchanges the principal and interest in one currency for the principal and interest in another currency.
6) What is a Foreign Exchange Option ?
?
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