ANZ offers a team of dealers, traders and operational staff to provide a range of products and services to our clients globally.

Our dynamic corporate and institutional sales and trading teams provide up-to-date market intelligence, advice, competitive pricing and timely execution of deals in all major and Asian currencies to our clients.

Forward exchange contracts

A forward exchange contract is a contract between two parties (the bank and the customer). One party is contracted to sell while the other is contracted to buy one currency for another, at an agreed future date and at a rate of exchange which is fixed at the outset.


Once executed, a forward exchange contract is a committed obligation of the bank and customer. If more flexibility is required, consider foreign options.

Foreign exchange options

Foreign exchange options offer the option buyer a fixed exchange rate for a future date if rates move adversely, but also provide the added flexibility of being able to use the prevailing spot rate if rates have moved favourably.

If you buy a foreign exchange option, you get the right to choose, on an agreed future date, whether you want to exercise the option. If the spot rate is more favourable than the options exchange rate, then you will choose to transact at the spot rate. However, if the spot rate is less favourable, you may exercise the option.

For this right, you will pay a premium at the outset (as you would for insurance). Options give you the flexibility in selecting the exchange rate. However, the more favourable the exchange rate selected, the higher the premium cost.

Options can also be used to hedge uncertain exposures. The maximum cost will be the premium amount paid for the option. Options can be structured in many ways to assist you in the management of your foreign exchange exposures.

Foreign exchange products

ANZ provides a diverse range of foreign exchange hedging solutions for our clients.

Foreign exchange products contain in-built strategies for hedging foreign exchange risk. Each product has particular advantages and disadvantages associated with its use.

The products you chose should be expected to reflect a combination of your attitude to risk, overall exposure management objectives and broad view on the future movements of the foreign exchange market.

This information is not intended as a substitute to you assessing whether a particular product is suitable for you and obtaining your own financial advice. For further explanation of product features, please speak to one of our dealers.

To learn more about ANZ foreign exchange, please contact your ANZ Relationship Manager.

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