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RE: FpML-RPTWG RE: Non-deliverable FX Forward example



Correct, in the case of the example below, the settlement rate option is
BRL PTAX (BRL09).

I can re-scrub an NDF confirm to provide an exhaustive list of
confirm-level fields (e.g., disruption events, fallbacks) for a typical
NDF, if that is helpful? 


______________________________________________
Chris Funck
Chatham Financial - Kennett Square
T: 484.731.0408



-----Original Message-----
From: owner-rptwg@xxxxxxxx [mailto:owner-rptwg@xxxxxxxx] On Behalf Of
Brian Lynn
Sent: Thursday, September 24, 2009 4:45 PM
To: rptwg@xxxxxxxx
Subject: RE: FpML-RPTWG RE: Non-deliverable FX Forward example

Chris, 

won't there also typically be a settlement rate option or at least a
fixing primary rate source to convert between the currencies?

-----Original Message-----
From: owner-rptwg@xxxxxxxx [mailto:owner-rptwg@xxxxxxxx] On Behalf Of
Chris Funck
Sent: Thursday, September 24, 2009 4:27 PM
To: rptwg@xxxxxxxx
Subject: RE: FpML-RPTWG RE: Non-deliverable FX Forward example

Matt,

Correct, the settlement currency is explicitly defined for a NDF, and it
may or may not be different from either currency pair. In the example
below, the settlement currency is USD. I missed this field, so good
catch!

Thanks,

Chris


______________________________________________
Chris Funck
Chatham Financial - Kennett Square
T: 484.731.0408



-----Original Message-----
From: owner-rptwg@xxxxxxxx [mailto:owner-rptwg@xxxxxxxx] On Behalf Of
Simpson, Matt
Sent: Thursday, September 24, 2009 1:41 PM
To: rptwg@xxxxxxxx
Subject: FpML-RPTWG RE: Non-deliverable FX Forward example

Chris - 

I thought that NDF's needed an explicit settlement currency which could
be different from either currency in the pair. Is this the purpose of
the MTM currency? Should we have a separate field specifying settlement
currency? Thanks

Matt

-----Original Message-----
From: owner-rptwg@xxxxxxxx [mailto:owner-rptwg@xxxxxxxx] On Behalf Of
Chris Funck
Sent: Monday, September 21, 2009 8:45 PM
To: rptwg@xxxxxxxx
Subject: FpML-RPTWG Non-deliverable FX Forward example

Non-deliverable, FX Forward example:

*	End User Pays: BRL 2,260,000.00 
*	Dealer Bank Pays: USD 1,140,239.25 
*	Strike: 1.9645 
*	Trade Date: 01-Jul-2009 
*	Value Date: 28-Sep-2009 
*	MTM Value as of 9/1/2009: USD -28,071.02  

Let me know if you need any additional details.
 
______________________________________________
Chris Funck
Chatham Financial - Kennett Square
235 Whitehorse Lane
Kennett Square, PA 19348
T: 484.731.0408
F: 610.925.3125
www.ChathamFinancial.com

 

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