Forward Contract
Forward Contract
Secure Today’s Rate. Transfer Later. Stay in Control.
Take the guesswork out of foreign exchange. A Forward Contract lets you lock in a competitive exchange rate now, for a currency transfer that takes place up to 12 months in the future. It’s the smart way to protect your budget—and your peace of mind—against unpredictable market swings.
What is a Forward Contract ?
A Forward Contract is a powerful risk management tool used by businesses and individuals to secure a fixed exchange rate for a future transfer. If you expect to make international payments in the coming months, a forward contract ensures you’ll know exactly what it will cost—regardless of where the market moves.
When Should You Use a Forward Contract ?
Forward Contracts are ideal if:
- You have upcoming international payments (e.g. invoices, property purchases, tuition fees)
- You want to lock in a favourable exchange rate now
- You need budget certainty or protection from currency volatility
- You want to manage cash flow more predictably
Whether you’re paying overseas staff or planning a long-term investment, securing your rate in advance can make a big difference.
Advantages of Forward Contracts
Budget Certainty
Know exactly how much you’re paying, regardless of market fluctuations
Protect Profit Margins
Eliminate the risk of negative currency moves eating into your profits
Strategic Timing
Lock in favourable rates when the market is in your favour
Flexible Options
Choose from fixed, open, or window-style contracts to suit your timing
Disadvantages to Consider
While a forward contract shields you from downside risk, it also means:
⚠️ You won’t benefit if the exchange rate moves further in your favour after locking in
⚠️ You are committed to the agreed rate and amount, limiting flexibility if your needs change
That’s why it’s essential to speak with one of our FX specialists to assess the right approach for your needs.
Types of
Forward Contracts
We offer a variety of tailored forward solutions to meet different scenarios:
Fixed Forward Contracts
Lock in an exchange rate today for a transfer on a specific future date. Ideal for scheduled international payments.
Open / Flexible Forward Contracts
Secure a rate today and use the funds any time within an agreed window. Perfect if you need flexible access to your funds over time.
Time Options / Window Forwards / NDFs
For more complex needs, we offer niche forward solutions like Non-Deliverable Forwards, Time Options, and Window Contracts. These are ideal for corporate hedging or unique international exposure. Contact us to learn more.
How to Book a Forward Contract ?
It’s quick and straightforward:
1. Speak with a Specialist
Get expert guidance from a St. George Foreign Exchange advisor who understands your business and goals.
2. Lock in Your Rate
Once your account is set up, we’ll quote you a competitive rate via phone or our secure online platform.
3. Secure Your Contract
A small deposit may be required depending on the contract type. The remaining balance is settled on your chosen future date.
4. Funds Delivered on Time
We’ll handle the exchange and ensure your funds are delivered to your beneficiary as scheduled—on time, and at the rate you locked in.
Is a Forward Contract Right for You?
Our experienced team is here to help. Get in touch to explore your options, understand the market, and discover the best FX strategy for your needs.
- Call us at +441273 661747
- Email us at info@sgfx.uk
Or simply fill out the form below, and one of our experts will be in touch within 2 business days.
Let’s take your global financial strategy to the next level.