Spot trades are executed immediately at live current rates with same day settlement. You can choose to deliver the funds immediately, at a future date or hold it in your account.
Forward contracts are used to fix exchange rates at the current market with a future settlement period, without having to commit cash to buying currency in advance. Forward Contracts help mitigate risk of market fluctuations.
Deposits can be required depending on value amount booked or the number of months you choose.
Booking forward contracts fix the cost of your future international payment, allowing you to plan with certainty. If the current rate is favourable to your forecast or expectations, you can choose to lock in the rate for a given amount to be settled at a future point in time. If the exchanging rate becomes unfavourable, you will still receive the locked in rate on any of your future payments.
A Market/Limit Order can be executed 24/7 and enable you to set the exchange rate of your choice, with the trade being booked when the rate is achieved. The trade confirmation ticket is sent once executed.
This type of trade is great for when you are looking to achieve a rate and don’t have time to monitor the market.