This module covers investments whose value or returns are linked to foreign currencies or movements in foreign-exchange markets.

Learners are introduced to exchange rates, currency pairs, market movements, transaction costs, volatility, liquidity and the economic factors that influence currency values. The module also considers the risks associated with leveraged transactions, rapid price movements, offshore exposure, counterparty arrangements and currency conversion.

Because foreign-exchange investments can carry significant risk, the training highlights the importance of assessing a client’s knowledge, objectives, financial position, risk tolerance and capacity to absorb losses.

This module is suitable for people who advise on, facilitate, administer or oversee foreign-exchange investment products.