Common Contracts
1 similar Forward Rate Agreement (Fra) contracts
IR 2Forward Rate Agreement (Fra) • November 18th, 2016
A forward rate agreement allows you to fix the interest rate of a future term deposit in advance. The deposit does not have to be in place when the transaction is concluded. A forward rate agreement is worth considering if your company is planning to place a larger deposit in the future and you are concerned that interest rates will be less favourable at the time of placing the deposit than the rates you could achieve if you concluded a forward rate agreement or you simply prefer to earn a safe, predictable interest.
