currency options

Currency Options University — Part 7
February 18, 2020
Concepts

Currency Options University — Part 7

Patrick Ceresna

Currency Hedging for US Dollar Investors For the past decade, Canadian investors of US dollar-based assets have had it good. No, they have had it great. Not only have American financial assets been the best performing assets in the major markets, but over that same period the value of the Canadian dollar has fallen...

722
0
1
5 months ago
Currency Options University — Part 6
February 04, 2020
Concepts

Currency Options University — Part 6

Patrick Ceresna

Currency Hedging for Exporters In the previous post we examined the role that USX currency options can play in hedging a company’s import costs. In this instalment of Currency Options University, we will explore using Montréal Exchange USX currency options to mitigate the risk that Canadian exporters face when selling goods...

569
0
Like
5 months ago
Currency Options University – Part 5
February 04, 2020
Concepts

Currency Options University – Part 5

Patrick Ceresna

Currency Hedging for Importers Although USX currency options are often used by speculators interested in expressing a directional view on the USD/CAD exchange rate, they also offer an interesting opportunity for corporations that conduct business in both currencies and are interested in mitigating the exchange rate risk...

810
0
1
5 months ago
Currency Options University – Part 4
November 22, 2019
Concepts

Currency Options University – Part 4

Patrick Ceresna

Directional Trading with USX Currency Options Our focus in Part 4 of the series is to demonstrate how USX currency options can be used for directional trading through the direct purchase of a call or put option. Options offer investors a way to buy a long position with a defined risk (limited to the cost of the option), while...

767
0
1
8 months ago
Impact of the Exchange Rate on Our Investments in the United States
November 12, 2019
Concepts

Impact of the Exchange Rate on Our Investments in the United States

Martin Noël

Given our proximity to the United States and/or for purposes of geographic diversification, many investors have investments in their portfolios that are priced in U.S. dollars. As with all investments, U.S. equities carry market risk, and it is important to carefully analyze securities so as to minimize, as much as possible,...

656
0
Like
8 months ago
Currency Options University – Part 3
September 03, 2019
Concepts

Currency Options University – Part 3

Patrick Ceresna

Part 3: Specifications of USX Options To summarize, in Part 1 we reviewed the macro drivers that influence a currency’s value, and in Part 2 we focused on the impact of those changes in the currency’s value on investors. The focus in Part 3 will be on understanding the specifications of Canadian USX options and how to size...

1889
0
Like
10 months ago
Options Brief- Week of July 17
July 18, 2017
Currency Options

Options Brief- Week of July 17

Montréal Exchange

Unless you’ve been living under a rock, you heard that the Bank of Canada (BoC) raised interest rates for the first time in 7 years last week. The overnight rate target was adjusted to 0.75 percent, an increase of 0.25 percent (from 0.5 percent). Citing the statement release from the BoC, «recent data have bolstered the...

1123
0
Like
3 years ago
Scroll Up