What kind of investors are foreign exchange options most suitable for?
Many customers have this trouble, they have a large amount of dollar time deposit, but it is not due. Judging from the current trend of the international exchange market, the deposit currency in hand is obviously in a downward trend, so I want to change hands to buy other bullish currencies (such as Euro). But at present, the exchange rate of euro is at an all-time high again, so we are afraid of misjudgment when buying euro.
If the market forecast is not accurate, it will not only lose the interest of time deposit, but also be "locked up", resulting in floating risk and a dilemma. At this time, you can use the Bank of China's "option treasure" to buy a put or call foreign exchange options to solve.
"Liangdebao" is mainly suitable for the hedging and hedging needs of the following categories of people:
First, they have a large number of low interest foreign exchange deposits in banks, but they are not familiar with the foreign exchange treasure business. Even if they have a certain understanding, but they are afraid of too much risk brought by doing foreign exchange treasure, they can choose to do "Liangdebao" at this time. It can earn a considerable option fee to keep the value of "Liangdebao". As long as the fluctuation of the foreign exchange market is small, with an option fee as compensation, the risk is quite small.
Second, those who hold us dollars but need to use linked currencies (such as Euro) after two weeks, one month or three months. For example, people who are going to study, study or travel in Europe can link the US dollar to the euro. After making the "Liangdebao" put option, there is not only a considerable income of option fee, but also the option can be exchanged into Euro even if it is executed by the bank. Therefore, "two treasures" kill two birds with one stone.
For those who have been studying abroad for three years, they can use the foreign exchange for a longer time. If you operate it properly, you will certainly have a good harvest in preserving value, increasing value and preventing foreign exchange risks.
Options are derivative financial products, which are derived for hedging. The Bank of China has launched the new financial hedge tool, which is "option treasure" and "two treasures". It not only opens up a new world for personal diversification, but also enables two-way investment in both foreign exchange and investment. Therefore, option trading is a powerful weapon to maintain value, increase value and avoid foreign exchange risk, and it is a new way for individual investment.