How does our foreign exchange pricing work?
The Coutts FX product pricing is based on the following:
- Coutts Treasury Services acts as principal/price maker versus any underlying client transaction.
- The FX rate is determined by reference to wholesale interbank quotes sourced from Reuters or NatWest Markets quoted as bid/ask. The reference rate may vary, depending on channel.
- The wholesale interbank quote is adjusted (marked up/down depending on whether you are buying or selling the foreign currency) to take account of the transaction size and type.
The exchange rate you will receive on any foreign exchange conversion conducted in connection with this service will be determined by reference to the foreign exchange market rates. We will then incorporate a spread (‘margin’) to the bid and offer rate quoted which will be added to or subtracted from the exchange rate, depending on whether you are buying or selling the foreign currency. This spread will be variable and will be determined by a range of factors including the transaction type, size, currencies, prevailing market conditions and overall cost of undertaking the transaction.
Coutts charge a maximum of 1% spread on all FX transactions. If you are completing a transaction greater than £100,000 you may be able to receive a preferential rate by contacting your private banker, Coutts 24 or the FX dealing desk directly.