20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for September 2025 exams.
Get your discount code >>

Buying or selling my currency

This topic has 1 reply, 2 voices, and was last updated 2 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author
Posts
September 8, 2022 at 12:04 pm #665746
jbishop2019
Member
- Topics: 1
- Replies: 0
I can’t get my head around this. What determines whether I sell my currency or whether I’m buying the foreign currency. So example is in 4 months time I need to pay $5m. Would I be selling GBP at the sell rate to effectively get dollars, or would I be buying $ at the buy rate? Is it whichever rate is the worst for me? I’m so confused
September 8, 2022 at 4:58 pm #665774
John Moffat
Keymaster
- Topics: 57
- Replies: 54720
It depends which way round the exchange rate is quoted.
I suggest that you watch the first of my free lectures on foreign exchange risk management where I spend time explaining what rates to use.
Author
Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.