Broker for currency options / Heding FX exposure

Discussion in 'Options' started by Yardir, Aug 6, 2017.

  1. Yardir

    Yardir

    Hi there,
    I am looking for a broker to trade currency options.

    In particular, I want to trade options on EUR/CHF to hedge FX exposure.
    (Background: I got some savings in CHF which I might want to convert to EUR at a medium time horizon, i.e., a couple of years.)

    Eurex, e.g., has such EUR/CHF options as OCEF.
    When I wanted to check the symbol at Interactive Brokers, I found that they do not cover them.
    IB only got the CME Futures and Futures Options for EUR/CHF (symbol RF).
    The longest option maturity they offer is Dec 17, though (the Futures go until Dec 18).
    That's not long enough for me.

    While Eurex has OCEF as one of their standard series, I am having problems to find brokers that allow me to trade them.
    The only broker I found that offers these options is SaxoBank.

    I am considering options because of their limited downside which neither futures, spot or currency ETFs provide.

    An alternative could be to buy warrants on that currency pair.
    I can't, however, find the symbol for these at IB either.
    The warrants are available at many European brokers, though.

    So, I got the following questions:
    - Which brokers do you know and can recommend to trade currency options, in particular on EUR/CHF?
    - What brokers can you recommend to trade warrants on EUR/CHF? (Can I trade them over IB?)
    - Any other advice to hedge EUR/CHF with limited downside?

    Thanks and best
     
    Last edited: Aug 6, 2017