Foreign Exchange Swap Cross

PURPOSE

To show illustration of foreign exchange swap cross.

OVERVIEW

TRANSACTION DETAILS

Accounting Base Ccy
SGD
Trade ID
Trade Date
VDate
Sell Currency
Buy Currency
Rate
Sell Amount
Buy Amount
Points

Near Leg

FRX1001
25-Mar-03
27-Mar-03
USD
GBP
1.435000
-1,440,000.00
1,003,484.32
0.000150

Far Leg

FRX1002
25-Mar-03
3-Apr-03
GBP
USD
1.435150
-1,003,379.44
1,440,000.00

SUMMARY OF JOURNALS

IDDateDescription
J127-Mar-03Settlement of Trade
J227-Mar-03Settlement of Trade
J331-Mar-03Month end revaluation
J41-Apr-03Reversal of Month end revaluation
J53-Apr-03Settlement of Trade
J63-Apr-03Settlement of Trade

J1                   Settlement of Trade

TradeIDPostDateB/PAccountCcyCcy AmountExc RateCcyBase AmountLine
FRX100127-Mar-03BFX Cash Clearing AccountGBP-1,003,484.322.508990SGD-2,517,732.12J1a
FRX100127-Mar-03PCash at BankGBP1,003,484.322.508990SGD2,517,732.12J1b

J2                   Settlement of Trade

TradeIDPostDateB/PAccountCcyCcy AmountExc RateCcyBase AmountLine
FRX100127-Mar-03BFX Cash Clearing AccountUSD1,440,000.001.717170SGD2,472,724.80J2a
FRX100127-Mar-03PCash at BankUSD-1,440,000.001.717170SGD-2,472,724.80J2b

J3                   Month end revaluation

TradeIDPostDateB/PAccountCcyCcy AmountExc RateCcyBase AmountLine
FRX100231-Mar-03PFX - Unrealised Gains - FX TradeSGD-12,231.571.000000SGD-12,231.57J3a
FRX100231-Mar-03BFRX:Derivative Liability Fair ValueSGD12,231.571.000000SGD12,231.57J3b
BookedME Rate SGDRevalued ToGain/Losses
FRX1001GBP-1,003,484.32-2,511,640.972.507750-2,516,487.80
-4,846.83
FRX1001USD1,440,000.002,476,713.601.7318002,493,792.00
17,078.40
12,231.57

J4                   Reversal of month end revaluation

TradeIDPostDateB/PAccountCcyCcy AmountExc RateCcyBase AmountLine
FRX10021-Apr-03PFX - Unrealised Gains - FX TradeSGD12,231.571.000000SGD12,231.57J4a
FRX10021-Apr-03BFRX:Derivative Liability Fair ValueSGD-12,231.571.000000SGD-12,231.57J4b

J5                   Settlement of Trade

TradeIDPostDateB/PAccountCcyCcy AmountExc RateCcyBase AmountLine
FRX10023-Apr-03BFX Cash Clearing AccountUSD-1,440,000.001.719940SGD-2,476,713.60J5a
FRX10023-Apr-03PCash at BankUSD1,440,000.001.719940SGD2,476,713.60J5b

J6                   Settlement of Trade

TradeIDPostDateB/PAccountCcyCcy AmountExc RateCcyBase AmountLine
FRX10023-Apr-03BFX Cash Clearing AccountGBP1,003,484.322.502920SGD2,511,640.97J6a
FRX10023-Apr-03PCash at BankGBP-1,003,484.322.502920SGD-2,511,640.97J6b

EXCHANGE RATES

Our illustration assumes the company uses different daily exchange rates for accounting.

The following rates were used for this illustration.

Spot rate

DateGBP/SGDUSD/SGD
27-Mar-032.5089901.717170
31-Mar-032.5077501.731800
3-Apr-032.5029201.719940

* round to 6 dp. Full precision used for calculation of average rates

FREQUENTLY ASKED QUESTIONS

RELATED INFORMATION

CHANGE HISTORY

DateByChanges
22-Jan-2008CSCreation.
20-Jun-2016RJReformatted.
23-Apr-2020LTRe-formatting.
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