Rs.25000 Saved On First Forex Transaction

Rs.25000 Saved On First Forex Transaction

15 Sep 2020 12:27 PM
 

CASE

An importer based out of Delhi had taken up TPO and Advisory services from Myforexeye. He had an import payment of $500,000 ten days later which he wanted to hedge using multiple forward contracts. Myforexeye dealers called his bank to book the contracts. The bank did not give direct treasury access to the client. Also, the bank was offering a net forward rate of 5 paise higher than the actual rate.

SOLUTION

KEY WINS

After a long discussion, our Myforexeye dealer asked for annualized premium which the bank denied providing by further unreasonable arguments. The total loss client was incurring on this deal was Rs.25,000.

The only way to provide transparency to the client was to change the bank. Myforexeye associated the client with a partner bank which gives treasury access and is sure to provide transparent rates to the client in the future.

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