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  • Example of the calculation of the foreign exchange overall net open position and the capital charge

    GBP DEM SAR US$ JPY GOLD
    +200 +100 +70 -190 -40 -50
               
    +370 -230 50

    The capital charge is 8% of the higher of either the sum of the net long currency positions or the sum of the net short positions (i.e. 370) and of the net position in gold (i.e. 50) = 420 @ 8% = 33.6

    October 07

    • CA-5.4.3

      For illustration and calculation of the overall net open position and the capital charge for unrestricted / restricted investment account and corporate book, refer to Section CA-5.3.

      October 07