International Business Transactions Foreign Exchange Transactions

Foreign Exchange Transactions

We are a reliable partner for your foreign exchange transactions.

Those who maintain business relationships with foreign business partners are exposed to the risk of fluctuating exchange rates. Price fluctuations can significantly reduce the margin on the operating business of exporters and importers.

Your Benefits

  • Broad product range: For every risk profile and hedging need, we offer you proven solutions and instruments to effectively protect your company from rising or falling exchange rates.
  • Many years of expertise: Our globally connected specialists provide you with solid know-how on the worldwide foreign exchange markets. Depending on your needs, we will send you all relevant publications from our Economic Research unit.
  • Convenient online solution: The free Forex Trading and my Solutions online platforms allow you to handle foreign currency transactions directly on the internet, thereby giving you personal, convenient access to the international currency markets.

General Information

A forex spot transaction is an agreement between two parties. They agree to buy or sell one currency in exchange for another. For spot transactions, delivery is generally two business days after conclusion.

Underlying Transactions

A spot transaction can be used to immediately convert one currency into another. This is an irrevocable agreement that must be kept in all cases. The currency exchanged via spot transaction is generally delivered two business days after the transaction has been concluded. Of course, a different maturity date (today, tomorrow, or later than two days) can be negotiated. This is then known as a forward transaction, because the interest rate difference must be factored in. The requirements for concluding a spot transaction are an account at Credit Suisse, the relevant foreign currency accounts, and the required balance.

FAQ 

What is a spot transaction?

A spot transaction is a currency exchange in which the delivery of the exchanged currencies generally occurs two business days after the transaction has been concluded.

Can I also conduct a transaction with today as the value date?

Yes, this is possible taking account of the interest rate difference. During our business hours (7:00 to 18:00) you can cover account balances with a value date of today. These transactions normally appear immediately in your account.

Does always the same exchange rate applies?

No, Credit Suisse uses different amount categories.

What can I do if I have a temporary bottleneck in one currency, but have enough liquidity in another one?

You can use a forex swap (combination of a spot transaction and a forward transaction) to efficiently manage your liquidity.

Can I place my currency exchange with Credit Suisse at a desired rate?

Yes, for amounts of CHF 250,000 and up, we can monitor limited orders for you around the clock. As an alternative, you can define a call level, i.e., we will inform you (during our opening hours) when the desired rate has been reached.

Why are banknote rates worse than forex rates?

Purchasing and selling notes requires a lot of manual work. Notes must be procured from the country of origin or sent back, which means transport and insurance costs. These are not proportional for smaller amounts in particular. The banknotes also do not generate interest.

General Information

Hedging strategies can help better control the daily currency fluctuations and enhance planning reliability for your company. Multiple options are combined to cover your individual needs. In most cases, the aim is to optimize the hedging price or the hedging costs. Based on your risk appetite and risk profile, our specialists will design the right hedging strategy from one of the following:

General Information

DCDs combine a fixed term deposit with a forex or precious metal option strategy. This yields higher returns than standard money market investments. In return, the client bears the risk that on maturity he/she will receive repayment in the alternative currency, depending on developments in the underlying currencies or precious metals. All DCDs can be tailored to your needs. We offer you securitized and unsecuritized OTC solutions.

Services

Personal Consultation 

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