The transaction is done between a buyer (Customer) and a seller (VietinBank), where the option buyer has the right, but not the obligation to buy or sell a foreign currency at a predetermined rate for a previously agreed duration. If the buyer chooses to exercise the right, the seller shall have the obligation to sell or buy the amount of foreign currency at the predetermined exchange rate.
Customer needs:
- Identification of the maximum cost (Call option) or minimum profit (Put option)
- Choice of the exchange rate that maximizes the benefits;
- Control of fluctuation risks in foreign exchange rate;
- Opportunity to earn profit from the positive fluctuation of FX rates.
Our solutions:
Currency option (OPTION):
- 2 types of options: Call option and Put option;
- Exchange rates: as per agreement between buyer and seller;
- Option fees: the amount that buyer has to pay to seller to have the right to buy or the right to sell a certain amount of foreign currencies.
