foreign currency futures and options


Obligation that allows an individual to purchase various currencies for a designated price to be delivered on a pre-determined date. Both parties essentially agree to a fixed price despite fluctuations in the currency market. This type of obligation may prove to be lucrative for speculators that sell these contracts before currencies decline or purchase them before they advance.
Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
foreign currency fixed deposit (FCFD) foreign currency option