The foreign exchange market is one of the largest financial markets in the world, operating worldwide on a 24-hour basis, and attracting high liquidity and large volumes of currency trading daily.
With the advent of real-time information and electronic trading, it is all too easy to overlook the importance of maintaining knowledge of foreign exchange fundamentals. Whether you’re onboarding a new team member or just want to reassure yourself that your platform is giving you the rate you were expecting – and therefore that you haven’t mis-entered any figures – we trust you’ll find our refresher on cross rates and forwards helpful and comforting.
- Outline how foreign exchange markets operate and the nature of activities conducted by the primary participants
- Discuss the factors that impact foreign exchange and analyse their influence on pricing
- Explain common terminology and concepts relevant to participants in foreign exchange markets
- Calculate two-way cross rates
- Define what an FX swap is and identify typical circumstances when an FX market participant might transact one
- Calculate two-way forward points and prices, including interpolation for odd dates
- Devise strategies for providing long-term foreign exchange solutions for a client
- Describe the features, purpose and advantages of non-deliverable forwards and demonstrate an NDF transaction.
Looking for a RG146 CPD solution? This course also forms part of our complete online CPD solution, , which enables financial participants and organisations to meet ASICs RG 146 ongoing training requirements.