Common use of Foreign Currency Settlement Clause in Contracts

Foreign Currency Settlement. In the event that the Client directs ZUNDIAO to enter into any transaction on an exchange or other market on which such transactions are effected in a foreign currency: (a) any profit or loss arising as a result of a fluctuation in the exchange rate affecting such currency will be entirely for the account and risk of the Client; (b) all initial and subsequent deposits for margin purposes shall be made in such currency in such amounts as ZUNDIAO may, in the sole discretion of ZUNDIAO require; and (c) when such a transaction is liquidated ZUNDIAO shall debit or credit the Account in the currency in which such account is denominated at a rate of exchange (where the relevant transaction is denominated in currency other than that of the Account) determined by ZUNDIAO in the sole discretion of ZUNDIAO on the basis of the then prevailing money market rates of exchange between such currencies.