Currency options and strategies

Currency option represents the right to purchase (Call) or sell (Put) one currency against another on the specified day in the future at a previously arranged exchange rate. Premium is paid for option purchase, client receives premium for option sale.

Options

We offer these options:

Reinsurance against currency risk by investing into purchase of options
Option owner has a possibility to choose, i.e. he/she can request deal performance or get out of deal
Cost-free currency reinsurance (hedging) is possible by a beneficial combination of currency options

Comparison

Purchased option	Forward
Minimum volume 50 000 EUR	Minimum volume 30 000 EUR
Right to purchase/sell 1 currency against another	Obligation to purchase/sell 1 currency against another
Necessity to pay premium	No initial costs
Client chooses exchange rate (Strike)	Exchange rate calculated by client dealer
Flexible hedging tool with numerous variations	Simple hedging tool

Conditions:

Minimum volume 50 000 EUR
Settlement within 1 year
Conclusion of deals via telephone from 8:30 a.m. until 4:00 p.m.
Signed contract with the Clients Department, Capital Markets Division

Capital markets division client department contact

+421 2 5919 2044
[email protected]