DIGITAL COMMERCE SHAPE VIETNAMESE SHOPPING HABIT IN 4.0 INDUSTRY
Foreign Exchange.pptxvgfyyfyfyfyfyffyfyff
1. DR.AMBEDKAR ARTS AND COMMERCECOLLEGE
YERWADA, PUNE-06
M.COM (II) 2019 CREDIT PATTERN
NAME OF THE SUB: Foreign Exchange
NAME OF THE STUDENTS:- Mahesh Uttam Wabale
ROLL NUMBER :- { }
NAME OF THE TOPIC:-FOREIGN EXCHANGE MARKET
NAME OF THE GUIDE:-PROF .Varat D.D Sir
2. FOREIGN EXCHANGE MARKET MEANING
• The foreign exchange market (also known as forex, FX,
or the currencies market) is an over-the-counter (OTC)
global marketplace that determines the exchange rate
for currencies around the world.
3. • FEATURES FOREIGN
EXCHANGE MARKET
• The foreign exchange
market is a global
platform where different
countries' currencies are
exchanged. It's also
known as forex or
currency market. Its key
features include high
transaction volume,
global reach, 24/7
operation, and diverse
instruments and
participants.
4. • PARTICIPANTS OF
FOREIGN EXCHANGE
MARKET
• Commercial banks.
• Hedge funds.
• Real money.
• Retail traders.
• Sovereign wealth funds.
• Prime brokers.
• Retail brokers.
• Proprietary trading firms.
5.
6. SPOT MARKET FEATURES
Rading Can Take Place Via An Exchange Or Over-the-counter (OTC). The Exchange Represents A
Market Where Buyers And Sellers Are Brought Together. Meanwhile, Over-the-counter Only
Involves Direct Contact Between The Buyer And The Seller, Without Going Through The
Exchange.
Item Delivery And The Transfer Takes Place As Soon As The Transaction Is Complete. It May Take
Several Working Days.
Spot Price Represents The Actual Price When The Transaction Is Completed, Not The Future
Price. It Applies Immediately And Not Tomorrow.
Spot Price Changes Every Day, Depending On The Supply And Demand In The Market. In
Contrast, In The Futures Contract, Prices Do Not Change Until The Delivery Of Goods And
Transfers Of Funds Is Complete.
Requirements May Be Standard For Transactions On Exchanges. But, That May Not Be Standard
In Over-the-counter Transactions, Depending On The Buyer And Seller’s Agreement.
7.
8. CURRENCY OPTIONS
What Is a Currency Option? A currency option (also
known as a forex option) is a contract that gives the buyer
the right, but not the obligation, to buy or sell a certain
currency at a specified exchange rate on or before a
specified date. For this right, a premium is paid to the
seller.
9. RISK IN FOREIGN EXCHANGE MARKET
Foreign exchange risk is the chance that a company
will lose money on international trade because of
currency fluctuations. Also known as currency risk, FX
risk and exchange rate risk, it describes the possibility
that an investment's value may decrease due to
changes in the relative value of the involved
currencies.
