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Physical FX > "Easy Exchange" Example

Example for Immigration

Mr. Zhang has been immigrated to Australia for one year. Now, he needs to exchange his USD into AUD in order to purchase a new house. However, The exchange rate of AUD is now in a sky high level. It should not be a good deal according to the current exchange rate. Mr. Zhang predicts AUD will go downward in certain future time. But, he must pay for his house immediately as the purchasing contract is due to the deadline. How to do now?

Solutions: KVB Kunlun International’s "Easy Exchange" Forex Swap Contract can solve Mr. Zhang’s problem, which will offer him optimal exchange rate. In the mean time, "Easy Exchange" makes the "Forex Forward Contract" and flexible spot settlement in a perfect combined which help lock in customers’ favorite exchange rate zone, hedge the risk from the fluctuation and minimize the cost.

Example for Business

Import & Export Trader Kevin urgently need a certain amount of AUDs for goods payment. His corporation has sufficient quantity of USDs. And it will receive an amount of AUD account receivable in near future. But he has no more time to wait, it is time to pay for the goods now. If he converts the USD into AUD in spot market, what he has to face are twice of exchange rate risk and expensive transaction cost. How to do now?

Solutions: Kevin can apply for our product of "Easy Exchange" . It combines the advantages of "Forex Forward Contract" and flexible spot settlement together. A contract specified the currencies, amount, rate and the delivery date should be signed. Then he can use enough amount of AUDs to pay for his goods and promise to exchange the AUD account receivable into USD in the future. As a result, Kevin is able to solve his problem. He has to pay nothing except the interest payment during the trading period. "Easy Exchange" is managed to solve the puzzle of capital turnover for businessman.

Example for Oversea Student

Now, new term begins, oversea student Kitty need to covert her USD into AUD to pay for her tuition fee. It is very costly to complete the exchange when the price of AUD in a high level now. And Kitty expects the exchange rate of AUD would be go downward in near future. However, she has no more time to wait for an optimal rate as the deadline for the tuition payment comes. How to do now?

Solutions: KVB Kunlun International’s "Easy Exchange" Forex Swap Contract can solve Kitty’s problem, which will offer her optimal exchange rate. In the mean time, "Easy Exchange" makes the "Forex Forward Contract" and flexible spot settlement in a perfect combined which help lock in Kitty’s favorite exchange rate zone, hedge the risk from the fluctuation and minimize the cost.

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