Foreign Exchange

Foreign Exchange allows you to exchange one currency for another at an agreed exchange rate on a settlement date that is between 1 day and 1 year after the trade date. Exchange rates are either quoted as value today (not covered by a PDS), spot exchange rates, value tomorrow exchange rates or forward exchange rates.

A spot exchange rate applies to a FX transaction with a settlement date that is 2 business days after the trade date. This type of FX transaction is referred to as Spot in this PDS.

A value tomorrow exchange rate applies to a FX transaction with a settlement date that is one business day after the trade date. This type of FX transaction is referred to as Value Tomorrow (TOM) in the PDS attached below.

A forward exchange rate applies to a FX transaction with a settlement date that is more than 2 business days and up to 1 year after the trade date. This type of FX transaction is referred to as Forward in the PDS attached below.

A forward transaction allows you to specify an optional settlement period within the term of the Forward transaction during which exchange of the currencies can occur at the agreed forward exchange rate. FX transactions are subject to the standard credit approval process followed by the Bank.