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Monday, 2 September 2013

On the Most Frequently Asked Questions regarding our Oil derivatives Trading Business

As part of Blackhawk’s close group of family and friends; and to set the record straight, we thought we’d share with you the Most “Frequently Asked Questions” when dealing with Oil Trading at large if you’re seriously interested in closing deals in this space.

1. Are there certain laws you have to follow in International Global Trading?

2. What is a soft offer?

3. Isn't the buyer with the money the most important thing in securing an oil deal?

4. Is there a difference in a "RFQ" (Request for Quote) from an End Buyer to a Buyer/Seller as opposed to a "RFQ" from the Buyer/Seller to the Supplier?

5. If I have secured a supplier should I ask for a mandateship?

6. What is really POP?

7. What does NCND or NCNDA mean?

8. Is the NCNDA any protection for an intermediary?

9. What does FPA, IFPA or IMFPA mean?

10. Does the MFPA (Masters Fee Protection Agreement) enforce payment of commission?

11. Please help me understand the real meaning of LOI and ICPO

12. What does BCL mean?

13. What does RWA mean?

14. What does  EXW  stand for and mean?

15. What does FAS mean?

16. What does a DLC  mean in the international trading business?

17. What is the best form of DLC?

18. Should I as intermediary accept a revocable letter of credit from the buyer for payment of goods?

19. You have said in the past that a TDLC (Transferable Documentary Letter of Credit) can only be transferred once.  If that is the case, then if it is transferred to me from the end buyer. How do I get to transfer it to the supplier? Please explain the mechanics of this TDLC.

20. What does Swift  MT 760 mean?

21. What does this mean? Branches of a bank in different countries are considered to be separate banks. Am I to understand that branches of a bank in the same country are considered to be the same bank?...Know more


Thanks,

Ziad K Abdelnour

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