A simple way to reduce risk to falling exchange rates
This essential factsheet reveals:
- How a forward works
- When fixing your exchange rate might be useful
- Why the forward rate is often different from the current rate
- Advantages and disadvantages of fixing the exchange rate
- The benefits of a flexible forward
Forward contracts offer shelter should rates move against you although it removes the potential to benefit from any favourable movements. The contents of the report should only be used for reference and do not constitute personal advice to buy or sell any of the currencies mentioned.
The Hargreaves Lansdown Currency Service is a trading name of Hargreaves Lansdown Asset Management Limited, which is a wholly owned subsidiary of Hargreaves Lansdown Plc, One College Square South, Anchor Road, Bristol, BS1 5HL. Company Registered in England & Wales No. 1896481. It is authorised by the Financial Conduct Authority (FCA) as a Payment Institution under the Payment Services Regulations 2017. The Firm Reference number is 115248. You can look this up on the FCA register website
. The marketing of the service is not regulated by the FCA.