Saxo Bank Offers FX Options to Private Investors in the U.S

Copenhagen/New York, 18 February 2008: Saxo Bank was the first Forex Option trading provider to offer trading of options for 31 major Forex crosses directly on live streaming prices, without dealer intervention, to private investors. The new US offer comes with lower prices than the few other Forex Option providers and with a high level of service.

One of the main benefits of trading options is the exclusion of risk from intraday volatility and the volatility caused by major market announcements. “While trading FX spot at aggressive margins, you run the risk of being taken out of your position during adverse, short term market conditions,” says Ted Voorhees, Head of FX Options at Saxo Bank. “However, by expressing your view through the options medium, one is ensured of not being stopped out”, adds Voorhees.

“FX Options offers unique opportunities for investors who want to trade beyond the intraday volatility and have strong views on currency price in weeks and months ahead,” says Voorhees. This product is also ideal for hedging other exposures.

Options can be quoted with one day to one year expiries, as well as zero to 100 deltas. The delta represents the likelihood an option is in-the-money at expiration. This alternative gives the investor a tremendous level of flexibility.

Furthermore, “trading FX Options is not a zero sum game,” says Voorhees. “Both the buyer and seller can make money, which is one of the reasons why this product is so well suited to the private investor”. This is made possible in one’s ability to trade the underlying gamma of the option the investor buys or sells. Gamma represents the change in the delta/spot position with a change in the spot level.

For the first time, Saxo Bank is participating in the International Traders Expo in New York Feb 16 – 19 at the Marriott Marquis Hotel. The expo serves as a great opportunity for Saxo Bank, as a world leader in online FX investments, to meet with private investors and present FX Options to an American audience.

On February 20, Saxo Bank will host a seminar at the Danish Consulate General in New York from 3:00 PM – 6:00 PM to introduce its products to local investors.

If you are a reporter interested in attending the seminar on February 20 to learn more about Saxo Bank and meet members of its North American team, seating can be arranged. We can also coordinate phone and in-person interviews with a representative from the Bank during that week. Please contact Daria Hall (details below) for further information.

Media Inquiries

Daria Hall, Walek & Associates, 212.590.0534 / dhall@walek.com
Emily Phillips, Walek & Associates, 212.590.0527 / ephillips@walek.com

About Saxo Bank A/S

Saxo Bank A/S is a global investment bank specializing in online investments in international Capital Markets. Saxo Bank enables clients to trade currencies, shares, CFDs, futures, options and other derivatives, as well as providing portfolio management via our online trading platform, SaxoTrader. SaxoTrader has been developed by Saxo Bank and is available to today's investor directly through Saxo Bank or through one of our global partnerships, where it forms an integral part of their infrastructure. One of Saxo Bank's significant areas of business is White Labelling. This involves the Bank’s online trading platform being customized and branded for other financial institutions and brokers. Saxo Bank has more than 100 White Label Partners and boasts thousands of clients in over 177 countries. The Bank's website www.saxobank.com receives approximately 65,000 visitors every day. Saxo Bank currently employs more than 1,200 employees from 58 different countries.

Saxo Bank has its headquarters in Copenhagen, with offices in London, Geneva, Zürich, Singapore and Marbella. It also runs a representative office in Beijing and an IT development centre in St. Petersburg.