Exotic options (FX)

Exotic currency options are options that differ from classic currency options in the calculation method and/or in what way and when the buyer of the option receives specified disbursement; properties are specified for individual option type.

In the software support the management of the following exotic currency options is supported:

  • one touch binary option,
  • double one touch binary option,
  • no touch option,
  • double no touch option,
  • European digital option,
  • European range bet.

Options can have either an American or a European mode of settlement, where the latter is relevant.

For the above listed types the following barriers are supported (depending on option type):

  • knock in,
  • knock out,
  • double knock out,
  • euro knock in.

Other functionalities

  • contracting of transactions with banks and legal persons,
  • automatic bookkeeping of business events within daily processing,
  • authorization of master data (possibility of four eyes control),
  • settlement supported by direct bookkeeping into current account transactions (premium and execution) through domestic payment transactions; for other cases reconciliation of claims and liabilities with bookkeeping into / from transitional account is enabled,
  • monthly evaluation at a fair value is executed outside of HIBIS-only evaluation values are inputted into the latter,
  • calculation evaluation accourding to Hedge Accountingom,
  • bookkeeping of exchange rate differences.