|
OTC MARKET |
CURRENCY FUTURES |
CONTRACTS |
Customized |
Standard
|
UNDERLYING EXPOSURE |
Required |
Not Required |
PRICE TRANSPARENCY |
Low – bank margins are often difficult to estimate |
High, facilitated by price discovery on electronic screen |
ACCESS |
Subject to Credit Limits and security
|
Subject to cash Margin based on daily MTM value |
DAILY MTM |
Available only on request |
Available on real-time basis |
CURRENCY TRADING |
Not permitted to non-bank entities
|
No restrictions |
SETTLEMENT |
Physical Delivery or Cancellation
|
Net settled in INR |