Exchange rate

Quote – the cost of one unit of currency (called the base), expressed in units of another currency (called counter currency or quote). The designation of the two currencies (for example, USD / CHF) reference currency recorded first quoted – the second. The quotation consists of two digits. The first digit – bid (the price at which the client can sell the base currency), the second – ASK (Ask or Offer) – the price at which the customer can buy the base currency for quoted. The difference between these rates is called a spread (spread). The size of the spread depends on the pair of currencies of the transaction and market conditions.

Minimum measurement of quotes called point (Point, Pips). Different instruments (currency pairs) are quoted with different accuracy, ie with a different number of decimal places in the quotation. Most currencies are traded up to 0.0001, some, such as the yen and its crosses – up to 0.01.

Direct quotation – number of currency per unit of foreign currency. Contact the quotation – the amount of foreign currency per unit of domestic.

Using the forward and reverse quotes a historical basis. The main global reserve currency is the US dollar, so most of the currencies used quotation USD / JPY, USD / CHF, ie the dollar is the base currency.

The Central Bank of the Russian Federation is the main body of currency regulation in the Russian Federation.

The Central Bank of the Russian Federation in the framework of the law “On Currency Regulation and Currency Control”:

It defines the scope and the treatment of the Russian Federation of foreign currency and securities in foreign currency;
issues regulations that are binding in the Russian Federation residents and nonresidents;
providing all kinds of currency transactions;
sets rules for residents and nonresidents in the Russian Federation operations with foreign currency and securities in foreign currency, as well as the rules for non-residents in the Russian Federation currency operations of the Russian Federation and the securities in the currency of the Russian Federation;
establishes the procedure for compulsory transfer, import and transfer to the Russian Federation of foreign currency and securities in foreign currency belonging to residents, as well as cases and terms of opening resident foreign currency accounts in banks outside the Russian Federation;
establishes common rules for issuing licenses to banks and other credit institutions to carry out foreign exchange transactions and issues such licenses;
establishes uniform forms of accounting, reporting, documentation and statistics on currency transactions, including authorized banks, as well as the procedure and terms of their submission;
prepares and publishes statistics of foreign exchange operations of the Russian Federation for the adoption of international standards;
performs other duties prescribed by this Act.
Exchange control in the Russian Federation by the Government of the Russian Federation, currency control authorities and currency control agents in accordance with the legislation of the Russian Federation.

Currency control authorities in the Russian Federation are the Central Bank of the Russian Federation, the federal bodies of executive power within the competence established by federal laws and the federal executive body authorized by the Government of the Russian Federation.

Currency control agents are authorized banks reporting to the Central Bank of the Russian Federation, as well as the organization, reporting to the federal executive bodies in accordance with the legislation of the Russian Federation.

Control over fulfillment of currency transactions by credit institutions and currency exchanges by the Central Bank of the Russian Federation.

Control over fulfillment of currency transactions by residents and nonresidents, and non-credit institutions or currency exchanges carried out within its jurisdiction the federal executive bodies, which are the currency control authorities and currency control agents.

The Government of the Russian Federation provides a separation of functions and interaction of federal executive bodies in the field of foreign exchange controls, as well as their interaction with the Central Bank of the Russian Federation.

The Central Bank of the Russian Federation shall cooperate with other bodies of currency control within their competence and ensures interaction with them authorized banks as agents of foreign exchange control.