Hello,
A friend of mine is involved in export oriented business and thus has dollar revenue.
What is the best way to hedge this incoming revenue and get the quote directly from the NSE exchange rather than the bank provided rate which is usually lower than the exchange traded rate.
To clarify , here's the example.
We are expecting $50K of sales revenue to come in Sept 2010. To hedge against the risk of currency fluctuation we would like to sell the Sept futures contract at a rate that's on NSE (47.77 per dollar) rather than 47.34 that a nationalized bank is quoting.
Is there a way to get the best price by trading the futures contract on NSE directly?
Any other alternative?
Thanks
Sky
A friend of mine is involved in export oriented business and thus has dollar revenue.
What is the best way to hedge this incoming revenue and get the quote directly from the NSE exchange rather than the bank provided rate which is usually lower than the exchange traded rate.
To clarify , here's the example.
We are expecting $50K of sales revenue to come in Sept 2010. To hedge against the risk of currency fluctuation we would like to sell the Sept futures contract at a rate that's on NSE (47.77 per dollar) rather than 47.34 that a nationalized bank is quoting.
Is there a way to get the best price by trading the futures contract on NSE directly?
Any other alternative?
Thanks
Sky