A time for special FX
Dealers are beginning to think a lot more seriously about credit-adjusting the prices they quote on foreign exchange derivatives. How are they calculating this, and how are clients responding to the move? By John Ferry
Supermarkets are often harangued for pricing alcohol so low they actually make a loss on it. The idea is that customers decide to use a particular store to buy their alcohol, but conclude they may as well do the rest of their shopping while they are there - and it is on the other products thrown into the trolley that the company makes its profit. Big supermarkets, however, are not the only entities that price some products cheaply and look elsewhere for their profits. In the face of near
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