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3I0-013 · Question #246

If a GBP/CHF trade is made on the spot foreign exchange market on Tuesday, when will the two currencies be settled if tomorrow (Wednesday) is a bank holiday in the U.K.?

The correct answer is C. Both currencies will be settled value Thursday. See the full explanation below for the reasoning.

Question

If a GBP/CHF trade is made on the spot foreign exchange market on Tuesday, when will the two currencies be settled if tomorrow (Wednesday) is a bank holiday in the U.K.?

Options

  • ABoth currencies will be settled value date Friday
  • BGBP will be settled value Friday, CHF value Thursday
  • CBoth currencies will be settled value Thursday
  • DGBP will be settled value today, CHF will be settled value Friday

How the community answered

(22 responses)
  • A
    14% (3)
  • B
    5% (1)
  • C
    77% (17)
  • D
    5% (1)

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