Common use of Risks of Trading in Foreign Currency Clause in Contracts

Risks of Trading in Foreign Currency. The profit or loss in transactions of foreign currency denominated products (whether they are traded in the Customer’s own or another jurisdiction) will be affected by fluctuations in currency rates where there is a need to convert from the currency denomination of the products to another currency. The Customer understands that the trading financial products/securities with underlying assets not denominated in Hong Kong dollars are exposed to exchange rate risk. Currency rate fluctuations can adversely affect the underlying asset value, also affecting the financial product/securities’ price.

Risks of Trading in Foreign Currency. The profit or loss in transactions of foreign currency denominated products (whether they are traded in the Customer’s own or another jurisdiction) will be affected by fluctuations in currency rates where there is a need to convert from the currency denomination of the products to another currency. The Customer understands that the trading financial products/securities with underlying assets not denominated in Hong Kong New Zealand dollars are exposed to exchange rate risk. Currency rate fluctuations can adversely affect the underlying asset value, also affecting the financial product/securities’ price.