FX Call Option

With Underlying EGP Treasury Bill

 

  1. Bookkeeper: Banque Misr
  2. Security Type: EGP Treasury Bill
  3. Auction type: American
  4. Eligible subscribers: Foreign Financial institutions.
  5. FX option: The subscriber has the right to buy an FX Call option upon purchasing the underlying T-bill (Primary or Secondary market). This option will have the following features:
    • Call Option : to convert principal plus interest upon exiting the market.
    • Option writer: Banque Misr.
    • Underlying security: EGP Treasury Bills.
    • Strike Price: Banque Misr FX offer rate at the trade date the Treasury bill was purchased.
    • Option Premium: USD upfront premium based on principal amount  paid to acquire the Treasury bill and it varies according to T-bill maturity as per the below table:

 

T-Bills MaturityUp front Premium
3 Months1.75 %
6 Months3.25 %
9 Months4.25 %
12 Months5.25 %

 

    • Option type: American.
    • Option Expiry date: 3 Months up to one year according to the underlying Treasury Bill security maturity.