Having a wide Foreign Exchange transaction net with many local and foreign partners and experienced staffs, MB has been an usual and trust partner of many VietNamese enterprises in supplying foreign exchange services and capital management fields for more than 13 years.
At MB, customer will give advices to use products in accordance with their needs at every moment, with every specific purpose for getting maximum benefit:
1. Foreign Exchange Spot
• Foreign Exchange Spot: is a transaction in which the two parties are committed to buy and sell an amount of foreign currency with spot rate of exchange and the settlement will be done within two working days.
• Transaction’s Objects : Individuals and economic entities.
• Transaction fee: None
• Document in spot transactions: Economic entities, other organizations and individuals using VND to buy foreign currency from MB via spot transaction have to present documents providing information on the purpose, quantity and kinds of foreign currency needed payment, payment time in accordance with current Foreign Exchange control regulations.
• Transaction Procedures:
- Selling Foreign Currency to get VND: Using form contract of foreign exchange in which specified: The quantity of Foreign Currency need to sell, selling exchange rate, and VND receiving place. .
- Buying Foreign Currency by VNĐ: Using form contract of foreign exchange in which specified: quantity of Foreign Currency need to buy , buying exchange rate, and USD receiving place.Present original of related payment documents in accordance with Foreign exchange control regulations.
- Buying/ Selling Foreign Currency by Other Foreign Currency: When in the need of Foreign Currency- Other Foreign Currency trading transaction, Please contacs with Corporate Service Department to come to an exchange rate agreement, payment date, money transfer instruction, deposit rate (If any) and sign transaction contract.
2. Foreign Exchange Forward
• Foreign Exchange Forward: is a transaction in which two parties commit to buy, sell an amount of foreign currency with at fixed exchange rate and the payment will be carried out in the fixed date in future.
• Transaction’s Objects : Individuals and economic entities
• Transaction Duration : At least 3 days, maximum 365 days ( Including weekends and holidays)
• Transaction fee: None
• Document in forward transactions: Economic organizations, other organizations and individuals using VND to buy foreign currency of MB via forward transaction have to providing information on the purpose, quantity and kinds of foreign currency needed payment, payment time in accordance with Foreign exchange control regulations.
• Transaction Procedures : Customer directly contacts with Corporate Service Department at Branch/ Transaction Room to come to an exchange rate agreement, duration, quantity, payment date, payment method, deposit rate to ensure carrying out contract and sign in forward transaction contract.
3. Currency Option
Foreign Exchange Option between Foreign Currencies is a transaction between put option party and call option party in which call option party has the right with out obligation buy or sell fixed amount of foreign exchange at a negotiated rate in agreed time. If call option party chooses to carry out its right, put option party is obligatory either to sell or buy an amount of foreign exchange in contract following with negotiated rate.
• Benefit:
Options help customer to protect their capital flow when carrying out import-export business from risk in front of the unquantified fluctuation of exchange rate in the market.
Option transaction with reasonable fee can be accepted, customers have an exchange rate option in fluctuant Foreign Exchange market.
- Option transaction has a chance to invest on the fluctuant exchange rate with limited fee, unlimited profit.
• Kinds of Option between foreign currencies:
- Call option: is the right to buy Foreign Currency at agreed exchange rate in a period of time or fixed time.
- Put option : is the right to sell Foreign Currency at agreed exchange rate in a period of time or fixed time.
• Types of Currency Option:
- American Style Option: Option can be carried out at any time during the period of validity of the contract.
- European Style Option : Option is only carried out at the maturity time of the contract .
• Object:
- Call option party: individuals, economic entities operating in VietNam
- Put option party: Military Joint Stock Bank.
• Option fee : is an amount of money which call option party has to pay for the bank to get options
• Operating Exchange Rate : is the exchange rate which is negotiated buy the two parties in the option contract.
• Money in Transaction : USD, EUR, GBP, JPY, AUD …
• Quantity : At least equal to 100,000 USD (one hundred US dollar) for each transaction
• Transaction Duration : At least 3 days, maximum 365 days ( excluding weekends and holidays)
• Effective duration of the contract : is the period of time option can be carried out on call option parties which is counted from the signed date to before 11h00 a.m (HN time) of the maturity day.
• Document : There is no need to present document to prove the purpose of using foreign currency when customer takes part in option.
• Operating contract : In the need of operating contract, customer send operating contract request paper to MB.
Currency- VND
• Currency and VND : is a transaction between the buyer and seller, in which the buyer has right without obligation to buy or sell fixed foreign exchange at fixed exchange rate in the agreed period of time. If the buyer exposes their right, the seller has obligation buy or sell an amount of foreign exchange in the contract on agreed price.
• Kinds of Foreign Currency with VND:
- Call option: is the right to buy Foreign Currency at agreed exchange rate in a period of time or fixed time.
- Put option : is the right to sell Foreign Currency at agreed exchange rate in a period of time or fixed time.
• Types of Foreign Exchange Option:
- American Style Option: Option can be carried out at any time during the period of validity of the contract.
- European Style Option : Option is only carried out at the maturity time of the contract .
• Object:
- Call option party: individuals, economic organizations operating in VietNam
- Put option party: Military Joint Stock Bank.
• Option fee : is an amount of money which call option party has to pay for the bank to get options
• Operating Exchange Rate : is the exchange rate which is greed by the two parties in the option contract.
• Money in Transaction : USD, EUR, GBP, JPY, AUD …
• Quantity : At least equal to 100,000 USD (one hundred USD) for each transaction
• Transaction Duration : At least 3 days, maximum 365 days ( excluding weekends and holidays)
• Effective duration of the contract : is the period of time option can be carried out on call option parties which is counted from the signed date to before 11h00 a.m (HN time) of the maturity day.
• Document : There is no need to present Document to prove the purpose of using foreign currency when customer takes part in option proficient applied for FC with FC.
• Operating contract : In the need of operating contract customer send operating contract request paper to MB. 4. Foreign Exchange Swap
• Foreign Exchange Swap is both buying and selling the same amout of Foreign Currency transaction (only 2 currencies used in this transaction), in which payment Dead-line of the 2 transaction is different and the exchange rate of the two is fixed at signed time.
• Object in transaction : Economic organizations.
• Transaction Dead-Line : At least 3 days, maximum 365 days ( excluding weekends and holidays)
• Transaction fee : None
• Document in spot delivery transaction: There is no need to present Document to prove the purpose of using FC
• Transaction procedure : Customer directly contacts with Business Customer Department at Branch/ Transaction Room to come to an exchange rate agreement, duration, quantity, payment date, payment method, pay sa security to ensure carrying out contract and sign in swap transaction contract.
For further information, please contact MB transaction offices all over the
country. Contact MB
