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FX Trading
Currency Switching
Currency Switching lets you switch the currency of your time deposit before its maturity date to realise potentially yields from currency fluctuations or to hedge against risk.
What is Currency Switching?
- By selecting a conversion currency and agreeing on the exchange rate, you can “unlock” your time deposit and switch the currency an unlimited number of times before your deposit’s maturity date
- On the deposit maturity date, your deposit will automatically be converted to your final designated currency at the agreed exchange rate of the forward contract(s)
What are the options for Currency Switching?
- 9 major currencies to choose from - AUD, CAD, CHF, EUR, GBP, HKD, JPY, NZD and USD
- Minimum contract size is only USD20,000 or its equivalent
- Unlimited conversions before deposit maturity
- No commission is charged on forward contracts
Foreign Exchange Order Watching Service (For Priority Banking Customers only)
- We monitor the market 24 hours a day to give you peace of mind. When the exchange rates reach your pre-determined level, we will automatically execute your pre-set orders , to help you capture your desired price levels.
- An extensive range of standing orders to suit your needs
| Target order | When the exchange rate reaches your pre-determined level, your instructions will automatically be carried out. |
| Stop Loss Order | When the market rate moves beyond your specified stop-loss level, your order will be executed at the next available rate. |
| One-cancel-the-other Order | Combining the benefit of Target Order and Stop Loss Order, no matter you want to buy or sell a currency, you can pre-set a pair of orders of the same amount with different price levels. If one of them is executed, the other will be voided automatically. |
| If-done Order | You can place a pair of orders of the same amount for the same currency simultaneously. The second order will become effective only if the first one has been executed. |
- 9 major currencies – AUD, CAD, CHF, EUR, GBP, HKD, JPY, NZD and USD are available for your selection, helping you to make the most of your currency investment. The minimum transaction amount for the Foreign Exchange Order Watching Service is HKD200,000 or equivalent.
Special Remarks for Foreign Exchange Order Watching Service:
- To pre-set standing orders, please call our customer service hotline from Monday to Friday (9am to 5pm), or visit any of our branches (9am to 4:30pm)
- All orders are "good-till-weekend" and will be voided automatically if they are not executed at 2:30am Saturday Hong Kong time (or the last trading day of the week). If the Friday is a Hong Kong Public Holiday, the trading cut-off time will be at 2:30am on Friday.
- The minimum transaction amount is HKD200,000 or equivalent of any currency accepted by us.
- If the order is executed at or before 5:30pm on a trading day, the relevant forex trading transaction amount resulting from the executed order will be settled on the same day by crediting to or debiting from your designated deposit account. If the order is executed after 5:30pm on a trading day, the relevant forex trading transaction amount resulting from the executed order will be settled before noon on the next trading day by crediting to or debiting from your designated deposit account.
Risk Disclosure Statement:
Currency Switching:
- Investment involves risks. The worst case will result in loss of your entire investment.
- The investment decision is yours but you should not invest in Currency Switching unless the intermediary who sells it to you has explained to you that the product is suitable for you having regard to your financial situation, investment experience and investment objectives.
- Principal Loss Risk / Currency Risk - This product is not principal-protected and the return of which will be dependent on movements in some specified currency exchange rates which are affected by a wide range of factors and may rise or fall rapidly.
- Liquidity Risk / Early Withdrawal Risk / Cancellation Risk - Any cancellation or withdrawal prior to maturity is subject to the consent of the Bank. With these risks, investors may incur significant costs or losses.
Not Protected under Deposit Protection Scheme
Deposit subject to any foreign exchange forward contract under Currency Switching services is NOT an alternative to ordinary saving or time deposit, and is NOT a protected deposit and NOT being protected under the Deposit Protection Scheme in Hong Kong.
Note: This webpage does not constitute any offer, invitation or recommendation to any person to enter into any transaction described therein or any similar transaction. All figures appearing are for illustration purposes only. Investor(s) should not make investment decision based on this webpage alone. This webpage has not been reviewed by the Securities and Futures Commission or any regulatory authority in Hong Kong.
