Global Markets

  • Effectively manage your funds

Global Markets

UOB (China) offers you foreign exchange services on spot, forward, option and swap basis to meet your trading needs and funding requirements such as payment/receipt of trade bills, remittances, fund transfers and loans.

By entering into an Interest Rate Swap (IRS) to pay fixed and receive floating rate, a company can effectively create a fixed interest rate on its loan. An IRS is an agreement between two parties to exchange interest payments, based on a nominal principal, over a certain period of time. One party will pay a floating rate and the other party will pay a fixed rate. It is suitable for corporate with floating rate loans/liabilities.

Cross currency swap is an agreement to exchange interest payments in one currency for those denominated in another currency. Suitable for corporate who has loan denominated in one currency, while its revenues are denominated in a different currency. Hence, there are FX mismatches between the currency of his loan and the currency of his revenues. For example, you have a USD floating loan but have only SGD revenues to service your USD loans. Hence, you are exposures to both FX and interest rate risks.

Our commodities team provides a range of products and solutions, including spot, forwards, swaps, options and structured transactions. Products can be tailored to suit your unique business and risk profile, provide protection against adverse commodity price movements and enable participation in beneficial price movements. Products and solutions can be offered in relation to precious metals, base metals, oil (including approximately 40 underlying refined products), thermal coal, iron ore and agricultural products.

This is a service for qualified corporate clients to lease gold from UOB (China) and pay leasing fees in RMB as agreed in the contract. The lessee repays gold of the same amount when the contract expires. Gold offered for leasing are standard gold bars or ingots that are traded and delivered at Shanghai Gold Exchange. For example, Au9999 means one-kilogram (standard weight) gold ingot of 99.99% purity. Delivery and repayment of the leased physical gold is processed via the member service system of Shanghai Gold Exchange. Leasing period is based on lessee's business cycle, not longer than 12 months for one lease.

Investments

●  Structured Product

Structured Product can link to a wide range of underlying instruments or assets which include:

          o Rate: e.g. LIBOR or SIBOR.

          o Equity: single equity, single equity index, a basket of equities or equity indices.

          o FX: single FX rate or a basket of FX rates.

          o Commodity: energy, precious metals, industrial metals, agriculture or commodity indices.

We offer flexible tenor and currencies. Tenor is from one month to five years subject to payoffs. Currencies can be CNY or foreign currencies. Structured Product can be 100% principal guaranteed or non-principal guaranteed. 100% principal guaranteed Structured Product allows the client to participate in the global financial market without risking the principal.