Current location - Loan Platform Complete Network - Foreign exchange account opening - What is the difference between foreign exchange swap and forward foreign exchange?
What is the difference between foreign exchange swap and forward foreign exchange?
ForeignExchangeSwap means that both parties agree to exchange currency A for a certain amount of currency B, and exchange currency B for the same amount of currency A at the agreed price on the agreed date in the future. Foreign exchange swap is a common means to avoid exchange rate risk in the international foreign exchange market. Foreign exchange swap transactions include spot transactions and forward transactions. The forward exchange rate in the period of foreign exchange loss is quoted on the basis of the forward exchange rate in the market, which inevitably emphasizes the requirements of effective use of forward transactions-price stability, depth of relevant forward markets and timeliness of quotation.

Forward foreign exchange business is the business of buying and selling foreign exchange by appointment, that is, the buyer and the seller sign a contract to stipulate the currency, amount, exchange rate and future delivery time of buying and selling foreign exchange, and then the seller meets and the buyer pays according to the contract. Its investment direction is the global foreign exchange market. FXSOL Global Jinhui Network has long concentrated all its resources in the CFD trading industry of foreign exchange, gold and stock index. At present, the foreign exchange market with daily trading volume as high as 654.38+0.5 trillion US dollars has become the largest market in the world. It is the full name of foreign exchange trading. Because the fluctuation of exchange rate is not as big as that of the stock market, if you invest in foreign exchange, the rate of return is small.