FX Products/Derivatives

FX Derivatives:

- Remittances

Getting the right rates at the right time is the key determinant of profitability in Forex transactions. We offer value Cash/Tom/Spot transactions for all major currency pairs. We also offer KRW outward remittance on the same day.

- FX Forward

FX Forward contract helps customers receiving income and/or paying expense in foreign currencies at a predetermined price in another currency. We do option dated forwards as well.

- Long Term Forwards (LTFX)

We book long term forwards for clients for a maximum tenor of 10 years.

Interest Rate Derivatives:

- Interest Rate Swap (IRS)

Interest Rate Swap helps customers manage interest rate risk by allowing customer to convert the basis of a stream of interest income (usually from investment) or interest expense (usually from borrowing) to match their requirement. The customer can exchange floating-to-fixed with different indices at predetermined rate.

- Cross Currency Swap (CCS)

Cross Currency Swap helps customers manage both FX and interest rate risk from foreign currency borrowing.  The customer will have a contract to exchange both foreign currency principal and interest coupon into required currency at a predetermined rate.  The interest coupon exchange can be floating interest coupon to fixed interest coupon and fixed-to-fixed.

- INR Overnight Index Swap (INR OIS)

INR OIS is an INR based IRS in which floating leg is linked to an overnight index, compounded every day over the payment period. The parties agree to exchange the difference in the accrued interest arrived according to the fixed and floating interest rates at the settlement dates on the notional principal amount.

External Commercial borrowings (ECB)

We arrange External Commercial borrowings (ECB) through Shinhan's Global network.