Exchange Rate Negotiation

This aspect of the Forex service is the one most easily understood and the one that is all too often focused on as being the most important.  This is not the case, but it is the most visible and easy to identify in the eye of the customer.

The services we offer and describe here are all of the services we offer where rate negotiation occurs.

Market Watch
Valufin watches the market movements in all currencies that are pertinent to our customers and they are reviewed and tracked according to the needs of each customer.  Therefore when market movement requires action, it is often only applicable to a subset of our customers.

We review the market information, commentaries, expectations, statistics, release of information, market moving events, economics, politics and similar influences on the markets.

The Forex market is the largest and most liquid market in the world.  We have no way of controlling or determining its movements and can only take a best judged view.

However, what we can do is structure a portfolio to negate the negative impact of certain movements if they were to occur.

Valufin dealers have access to interbank information feeds as used by the major interbank traders.  Therefore we are aware, on a first hand basis, of what prices are by the second that they are being traded between the largest international traders.

It is from this benchmark that we are able to ensure that the rates achieved for our customers are the ‘right’ rates.  The right rate is different for each client and is determined by negotiation with the currency providers to reduce the margin against the interbank rate.

As we have the source market rates at our finger tips at all times, there is no possibility of margins being stretched by providers on any transactions.

Where feasible we will get quotes from more than one provider to ensure a minimum margin.

Stop Losses and Stop Profits
This is where we place a ‘deal request’ with a currency provider that if a given rate is reached either on the profit side or loss side, that the currency required is automatically transacted.

This allows for the ability to track rate management and risk protection 24/7 round the globe provided there is a market trading.  There are very few hours in a week when no market is trading.

Add comment