Treasury and advanced risk management - Casasophia Co June 2011

They are receiving $'s and therefore the transaction will be selling $'s and buying €'s. The options have a contact size quoted in €'s, so since the transaction is buying €'s they want an option to buy €'s. i.e. they will purchase a call option on €'s. I explain the 'rules' and the workings with options in detail in my free lectures on foreign exchange risk management.

Thanks. I watch again.

You are welcome :-)