Why ICBC(Asia) Private Bank |
Always in your best interest |
A wealth of potential |
Making your wealth more rewarding |
ICBC Essence Card |
RMB Product |
Cross Border RMB Trade FinanceInterest Rate Risk Hedging Product |
FX Risk Hedging Products |
Yield Enhancement Products |
CNH options are one of the ways for corporations to hedge against adverse movements in CNH exchange rates. It grants the holder the right, but not the obligation, to buy or sell currency at a specified exchange rate during a specified period of time. The buyer can either buy a call option or buy a put option. For this right, a premium is paid to the seller, which will vary depending on the notional amount of contract purchased.