When it comes to the sale of overseas property, changes in the currency markets can affect the value of transactions and make it difficult to predict your income. For example, you may be selling a property in Euros and looking to convert the proceeds to sterling in the future.

One way to manage your foreign exchange exposure is with an FX Open Forward contract. The tool allows you to secure the current exchange rate for a trade that is made up to 24 months in advance.

“Some property entrepreneurs see Forwards as an opportunity to provide some certainty around the value of funds they will receive, as well as a way of potentially securing rates at a favourable level,” says Private Client FX Dealer Greig Tonks.

“With an FX Open Forward contract, the final trade can be settled during a window period of days, weeks or months, which means you can agree the rate before a transaction date is known.”

While you would not benefit if the rate subsequently moved in your favour, an FX Open Forward contract can usually be unwound. This may incur a cost.

As part of the Investec private banking experience, clients can hold funds in interest-bearing Currency Access Accounts, which enable 15 currencies to be held in an account that can be viewed and managed online.

“We work directly with all of our private banking clients and will help devise a strategy based on your personal needs,” says Greig. “This includes helping property entrepreneurs to manage event-driven foreign exchange transactions.”


Do you want to have a quick discussion about your Foreign Exchange needs? Please get in touch.


Important Information: 

Minimum eligibility criteria and terms and conditions apply. You can only book an FX Forward which is for an underlying personal or commercial spending purpose. You cannot book an FX Forward for investment or speculative purposes, for example in order to achieve a gain based on movements in exchange rates. Also, you cannot book an FX Forward on behalf of any other person. Additional terms and eligibility criteria apply for FX Forwards.