Financial market hedging products - Entrepreneurs and businesses - ČSOB
Financial market hedging products
elimination of exchange rate risk
hedging against risks resulting from interest rate movements
protection of an investment against adverse market trends
Foreign exchange forward
Transaction hedging to cover the risk of exchange rate movement. The bank and the client agree on a fixed exchange rate for a currency conversion made in the future.
Average rate forward
Hedging transaction to cover the risk of exchange rate movement over a predefined time horizon.
Foreign exchange swap transaction
A hedging transaction combining a spot and forward FX transaction. The transaction resolves a mismatch between the need for foreign currency and the available funds.
You can hedge risks related to movements in commodity prices with commodity swaps and options.
Interest rate swaps
Protection against unfavourable changes in interest rates. They allow a floating interest rate to be swapped for a fixed rate or vice versa.
Interest rate options
You can protect yourself against unfavourable developments in interest rates without ruling out the option take advantage of favourable movements in rates.