A brief one today: We recently provided one of our clients with €64,000 more than her bank. Context: The client was introduced to us by word of mouth. She had recently divorced. Some weeks before her introduction to Prime Cap she had received a sterling lump sum, sent directly to her euro bank account by her ex-husband. Her bank, AIB Private, on receiving this sterling amount, exchanged them directly and straight into Euros...without asking her or even confirming the rate of
In earlier posts within our Library we talk about 'Forward' and "spot' contracts. The reason this is going to be a slightly briefer post is simply because a 'Same Day' contract is rather like the other two, except that our client has made an express request to have at least the ability to receive their currency on the same day they bought it. Let's explain: The 'Spot' contract is the standard one used in most capital markets transactions. It prices a rate or an asset in real
Rather than just sitting down and writing what we think a 'Spot' contract is and how you might go about using one to best effect, as you might expect and in an attempt to flesh out our more colloquial references to them, we have done some research. We've looked at how others describe them... What regulators think of spot contracts and what they think are it's associated risks and benefits; and we have also looked at how our current clients implement it/them in the course of t
Ever changing rates of exchange mean that the foreign currency value of one-off pieces, collectables and entire portfolios rise and fall with the currency markets. In an environment animated by volatility, working with an institution that can bring clarity to costs and speed and efficiency to prices and process can be worth it's weight. Working with our partners in the HNW and UHNW insurance space, Prime Cap has established an innovative approach to the valuation of purchases
1. UNLESS YOU HAVE FOREIGN CURRENCY EXPENSES, YOU’RE GOING TO NEED TO CONVERT YOUR FOREIGN CURRENCY REVENUE. We love the HSBC advert with the little girl selling lemonade: ‘I’m on the phone to my supplier in France!’. It is charming and positively prophetic in its illustration of a) how easy it is for small businesses to deal internationally b) how simple small businesses think it is and will be to sell in a country other than your own. We like the advert, but it is silly.