Since launched by ICBC in February 2013, account-based foreign exchange service has been well received by foreign exchange investors. As at the end of the first quarter of 2015, the number of customers had exceeded 500,000, and the trading volume reached nearly RMB 2 billion. Account-based foreign exchange has become a new choice for foreign exchange investors.

This is a service for ICBC’s personal customers to buy/sell FX via account in RMB. Only FX shares are counted and FX shares in the account cannot be withdrawn in foreign currency or for transfer/remittance. Currently, foreign currencies available for customers to buy/sell account-based foreign exchange include Euro, British Pound, Canadian Dollar, Swiss Franc, Australian Dollar and Japanese Yen. Personal customers with demand for foreign trade, overseas travel, studying abroad and overseas shopping can buy FX and sell it later to hedge against the appreciation risk of the currency against RMB and sell FX and buy it later to hedge against the depreciation risk of the currency against RMB. Meanwhile, professional investors that hold certain knowledge about the foreign exchange market can build short or long positions to earn a spread.

According to a relevant official with ICBC, account-based foreign exchange is an innovative product of ICBC and has apparent advantages compared with similar products in the market. First is long trading hours. ICBC provides non-stop price quotation from 7:00 am (Monday) to 4:00 am (Saturday). Customers can buy/sell FX in a real-time manner or place orders according to ICBC's price quotation. Second is convenient services. Customers can buy/sell foreign exchange through Internet banking, mobile banking and telephone banking. Third is flexible options. Customers can opt to sell after buying or sell before buying. Fourth is no restriction on annual trading quota. Customers may invest in the foreign exchange market according to their needs without taking up annual trading quota.