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Basiswährung

Um einen Wechselkurs anzugeben, werden in der Regel die ISO-Codes der beiden Währungen aneinandergehängt. Die zuerst genannte Währung bezeichnet man als Basiswährung. Die an zweiter Stelle genannte Währung wird variable Währung oder Gegenwährung genannt. Währungen werden immer in Quotierung gegen eine andere Währung angegeben. Bei dem Währungspaar EUR/USD ist zum Beispiel der Euro die zuerst […]

Batch payment processing

Batch payment processing refers to a procedure that involves bundling payables to process them in group payments. This method boosts efficiency by reducing the time required to execute them manually. More info International Payments Payments Hub Currency Accounts Payments Automation Businesses with an international presence that rely on a global supply chain often need to process […]

Bid/ask spread

In foreign exchange, the “bid/ask spread” or “buy /offer spread” – more commonly known simply as the “spread” – is the difference in price by which the “bid” price exceeds the “ask” price of a specific asset (such as a currency, stock, option or futures contract). The “bid” price is the price that a buyer is […]

Bitcoin

Bitcoin is a consensus network that enabled a new payment system and a digital currency, which was created in 2009. It is the first decentralized peer-to-peer payment network powered by users and has no central authority or middlemen. From a user perspective, Bitcoin is like cash but can only be used online. Bitcoin operates via […]

Blocked currency

A blocked currency, also known as a “non-convertible currency” or “restricted currency”, is a currency that is subject to governmental restrictions and is not traded in the foreign exchange market, meaning its use is predominantly limited to domestic transactions. There are diverse reasons why governments restrict the use of their currencies, but a common one […]

Brazilian Real

The Brazilian real is the official currency of Brazil, its ISO code is BRL, and its symbol is (R$). The Banco Central (the Brazilian central bank) issues the real do Brasil, and its value is subdivided into 100 centavos. The real is a relatively modern currency, as it was adopted in 1994, to replace the […]

Break Forward

A break forward, also known as a cancellable forward, capped forward or cancellable option, is a derivative product halfway between a forward contract and an option. Break forwards give buyers the possibility – but not the obligation – to purchase a specific currency at a predefined rate, known as the delivery price, on maturity. Due […]

Budget Reference Rates

The Budget Reference or Budget Rate is the exchange rate that a company’s financial management uses to draft budgets and establish business objectives. Businesses with offices in several countries, operating in different currencies, set Budget Reference Rates for calculations between their functional currency and each of the currencies they work with. When a budget involves […]

Business foreign exchange

Business foreign exchange refers to the trading of currencies for purposes of real international trade of goods and services, in contrast to the vast majority of FX trades, which are purely speculative. This activity represents less than 2% of the USD5.3 trillion exchanged daily on the global FX market, while speculative trading accounts for the […]

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Cash collection

Cash collection, also known as payment collection, is a treasury function that describes the process whereby a company recovers cash from other businesses (or individuals) to whom it has previously issued an invoice. More info Currency Accounts Payments Hub Currencies The issuance of every invoice includes its terms of payment, which determine the maximum time […]