Grain Glossary

Be part of Grain's top-tier developer team, shaping the future of fintech. Dive deep into front-end and back-end development, ensuring the excellence and resilience of our state-of-the-art embedded cross-currency platform. < Back Senior Full Stack Engineer Be part of Grain's top-tier developer team, shaping the future of fintech. Dive deep into front-end and back-end development, ensuring the excellence and resilience of our state-of-the-art embedded cross-currency platform. Full Time Tel Aviv Apply Now Who We Are: Grain is a pioneering fintech startup based in the heart of Tel Aviv. We offer embedded cross-currency solutions tailored for software platforms and marketplaces. Grain was founded by seasoned entrepreneurs, formerly of financial institutions such as Barclays, Deutsche Bank, as well as other renowned fintech startups. Grain is backed by leading venture capital firms and prominent financial institutions. At Grain, we offer an opportunity to shape the fintech landscape and be a part of a community that's committed to excellence. Job Description: We are looking for an experienced Full Stack Developer with a strong front-end focus to join our team in developing Grain's advanced fintech platform. As a key contributor, you'll work across both the front and back ends to ensure performance, quality, and resilience in our embedded currency hedging solution. This role demands attention to detail in high-scale system design, with an emphasis on delivering a seamless user experience. You'll work closely with a diverse engineering team to brainstorm, troubleshoot, and solve complex challenges, driving forward-thinking solutions and improvements to user experience. Qualifications: 5+ years as a software engineer, with expertise in front-end development (and familiarity with back-end technologies such as Node.js) Skilled in modern front-end frameworks and tools such as React and TypeScript, along with a solid understanding of back-end development. Strong attention to design, usability, and accessibility, with a desire to contribute ideas that elevate the user experience. Exceptional analytical skills and a proactive approach to challenges. An independent learner who thrives on new technologies and is ready to adapt in a fast-paced environment. Previous experience in the fintech sector is an advantage. Apply Now

Help us make financial solutions more accessible. Learn about open roles. WE’RE HIRING! Join Our Team Be Part of Our Mission We’re looking for passionate people to join us and foster a culture that empowers you to do your best work. OPERATIONS Head of Risk and Compliance Be part of Grain's team, playing a crucial role in building and optimizing the company's compliance strategies. NL Full Time Senior Partner Operation Manager Be responsible for ensuring that customers successfully and efficiently implement Grain’s FX optimization and hedging solutions Tel Aviv Full Time Payment Operations Manager Manage and direct the activities of the domestic and international payment operations, ensuring continuous, uninterrupted support from critical third parties. Tel Aviv Full Time ENGINEERING Senior backend Infra Engineer Be part of Grain's top-tier developer team, shaping the future of fintech. Dive deep into front-end and back-end development, ensuring the excellence and resilience of our state-of-the-art embedded cross-currency platform. Tel Aviv Full Time Senior Full Stack Engineer Be part of Grain's top-tier developer team, shaping the future of fintech. Dive deep into front-end and back-end development, ensuring the excellence and resilience of our state-of-the-art embedded cross-currency platform. Tel Aviv Full Time SALES & MARKETING Sales Manager - Embedded Finance (Netherland) Be part of Grain's team, playing a crucial role in building and optimizing the company's Sales strategies. NL Full Time Key Account Manager – Embedded FX Hedging Solutions Be part of Grain's team, playing a crucial role in building and optimizing the company's Sales strategies. Tel Aviv Full Time Sales Manager Embedded Finance (Travel Industry) Be part of Grain's team, playing a crucial role in building and optimizing the company's Sales strategies. Global Full Time Business Analyst Be part of Grain's Data team, playing a crucial role in supporting and optimizing the company's financial strategies. Tel Aviv Full Time Director of Marketing Be part of Grain's team, playing a crucial role in building and optimizing the company's Marketing strategies. Tel Aviv Full Time MARKETING

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z Japanese Yen Carry Trade Carry trades involve borrowing money in one currency at a low interest rate and investing it in another currency at a high interest rate. The currency you borrow in a Japanese Yen carry trade is the Yen - the currency of Japan. < PREVIOUS NEXT >

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z E Electronic invoicing Electronic invoicing (e-invoicing) refers to the creation, exchange, and processing of invoices electronically instead of on paper. E-invoicing involves sending invoices electronically between a supplier and a buyer, usually via the internet. There are several benefits to this method of invoicing over traditional paper invoicing, including increased efficiency, reduced errors and fraud, improved cash flow, and lower costs for printing and mailing. In addition, e-invoicing can be integrated with financial systems, making the accounts payable process easier to automate and improving cash flow visibility. Embedded finance Embedded finance refers to the integration of financial services into non-financial products or services. This can take many forms, such as adding payment or lending functionality to a mobile app or website, or bundling insurance or investment products into a larger offering. Embedded finance aims to make financial services more accessible for consumers by bringing them directly into the products and services they use. Emerging markets Emerging markets refer to countries that are in the process of developing their economies and are considered to be of high growth potential. These countries are often classified as being less developed than more industrialized nations and are characterized by a lower level of per capita income, less developed financial markets, and less mature political systems. Exotic currency An exotic currency is a term used to describe a currency that is not widely traded or used in international transactions. These currencies are typically from smaller or less developed countries, and may be less liquid or more volatile than major currencies. Examples of exotic currencies are the Brazilian Real (BRL), South African Rand (ZAR), Mexican Peso (MXN). Turkish Lira (TRY), Indian Rupee (INR) and Russian Ruble. Exchange rate An exchange rate is the price at which one currency can be exchanged for another currency. It is the value of one currency in terms of another currency, and is determined by the supply and demand for the two currencies in the foreign exchange market. Economic value added (EVA) Economic value added (EVA) is a measure of a company's economic profit, or the value it creates beyond what shareholders require. A company's EVA is calculated by subtracting its after-tax operating profit from its cost of capital. ECB rate ECB rates are foreign exchange reference rates published by the European Central Bank. Every working day, the bank publishes the exchange rate for European currencies against the euro (EUR). < PREVIOUS NEXT >

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z N Negative Carry A negative carry occurs when the cost of holding a financial asset exceeds the income generated by it. It occurs typically when an asset pays a lower return than what it costs to finance its purchase. Nominal Effective Exchange Rate An unadjusted weighted average rate at which one country's currency exchanges for a basket of multiple foreign currencies is called the nominal effective exchange rate (NEER). Nominal exchange rates indicate the amount of domestic currency needed to purchase foreign currency. Non-Deliverable Forward Non-deliverable forwards (NDF) are cash-settled, and usually short-term, forward contracts. The notional amount is never exchanged, hence the name "non-deliverable." Two parties agree to take opposite sides of a transaction for a set amount of money—at a contracted rate, in the case of a currency NDF. Notional Value The notional value of an underlying asset is often used by derivatives traders to refer to the contract's value. This can be the total value of a position, the amount that a position controls, or an agreed-upon amount. A financial asset's face value is used to determine its payment. In the options, futures, forward, and currency markets, this term describes derivative contracts. Natural Hedge A risk management strategy that reduces exposure by aligning assets with inherent negative correlations or by matching operating expenses and revenues in the same currency to minimize exchange rate risk. < PREVIOUS NEXT >

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z Quote Currency In foreign exchange (Forex), the quote currency, also known as the counter currency, is the second currency in both direct and indirect currency pairs. A quote currency determines the value of a base currency. When currency exchange rates are quoted, the quote currency is listed after the base currency. < PREVIOUS NEXT >

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z U.S. Dollar Index U.S. Dollar Index measures the dollar's value relative to a basket of foreign currencies, often referred to as a basket of U.S. trade partners' currencies. Universal Currency Converter Universal currency converters provide the convenience of converting currency values using current exchange rates through software applications or websites. It is easy to find free currency converters on the Internet, which are capable of converting the value of one currency to another, such as dollars to euros and euros to pounds. < PREVIOUS NEXT >

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z Hedger Hedgers are investors or financial institutions that engage in financial transactions to reduce the risk of potential losses on assets. Hedging involves taking offsetting positions in financial instruments to mitigate the impact of price movements on the underlying asset. There are many different ways that investors and financial institutions can hedge their risks, depending on their specific needs and the nature of the underlying asset. Some common hedging strategies include the use of financial derivatives such as options and futures, as well as the use of diversification and portfolio optimization techniques. Historical Volatility Historical volatility refers to the fluctuations in the price of a security over a specific period of time. Calculated by taking the standard deviation of the natural logarithm of the asset's price over a specified number of trading days. The higher the historical volatility, the greater the price fluctuations of the asset. Historical volatility can be used to help predict future volatility and risk, but it is important to note that past performance is not necessarily indicative of future results. < PREVIOUS NEXT >

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z A At The Money (ATM) In finance, an option is at the money if the current market price of its underlying asset equals its strike price. Because the underlying asset cannot be bought or sold at a price other than the current market price, at-the-money options have no intrinsic value. Accounts payable A company's accounts payable is the amount of money it owes to its creditors for goods or services it has received, but has not yet paid for. In the context of accounting, accounts payable is classified as a liability, as it represents a company's obligation to pay off its debts. It is recorded in a company's balance sheet under the category of current liabilities, along with other debts and financial obligations that are due within the next year. Appreciation in Currency A currency appreciation in the currency market refers to an increase in the value of one currency relative to another. Simultaneously, the currency appreciation benefits importers as they have to pay less in domestic currency for imported goods. Alt 21 Alt 21 is a digital financial platform designed to let individuals and businesses hedge currency risks. The company's platform offers customizable forex hedging software including options and forwards with real-time rates for pricing in multiple currencies, enabling banks, credit unions, and corporate treasury departments to automate their forex hedging processes and deliver tailor-made financial services. Actual/360 A day count convention is used for calculating interest accrued on Treasury bills and other money market instruments . Uses actual number of days in a month and 360 days in a year for calculating interest payments. < PREVIOUS NEXT >

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z Xenocurrency A xenocurrency is a currency deposited or exchanged outside its country of origin. The term "eurocurrency" or "foreign currency" is more commonly used today. Due to globalization of supply chains and financial markets, these types of currency transactions have become increasingly common. Xero currency rates At midnight, the official rate of the day (or mid-market rate) is determined. The exchange rates in Xero are rounded to six significant figures, including decimal places. Variances can occur if the actual exchange rate has more than this. < PREVIOUS NEXT >

Get an overview of financial terms and their definitions. < BACK KNOWLEDGE BASE Grain Glossary Get an overview of financial terms and their definitions. ALL A A B B C C D D E E F F G G H H I I J J K K L L M M N N O O P P Q Q R R S S T T U U V V W W X X Z Z C Cash flow hedge A cash flow hedge is a type of hedge that is used to protect against potential losses or gains on a company's future cash flows. It involves using financial instruments, such as derivatives, to offset the impact of changes in foreign exchange rates, interest rates, or commodity prices on the value of the company's cash flows. Consumer Price Index (CPI) Consumer Price Index (CPI) measures the average price level of a basket of goods and services consumed by households. The Consumer Price Index (CPI) is a critical indicator of pricing pressures in an economy and provides a gauge of inflation. Forex traders monitor the CPI, as it can lead to changes in monetary policy by the central bank that will either strengthen or weaken the currency against others in the markets. Collateral In the context of foreign exchange (FX), collateral refers to assets that are pledged as security for a financial obligation, such as a loan or a derivative contract. Collateral is often used in FX transactions to reduce the risk of default by one of the parties. Collateral can be used in other types of FX transactions as well, such as currency forwards, options, and non-deliverable forwards. In these cases, the collateral may be used to cover the potential risk of loss due to changes in exchange rates or other market conditions. Counter Currency In a currency pair, the counter currency is the second or reference currency. In ISO currency code pairs, the counter currency follows the base currency. The base currency of a pair is usually a major currency, especially when trading exotic currencies. Commodity Commodities are raw materials or primary agricultural products that can be bought and sold, such as copper, oil, wheat, gold, etc. Because commodities are standardized products with little differentiation between their qualities, they can be interchanged with other commodities of the same type. They are often produced and traded in large quantities and can be used as inputs for further production or as sources of energy. Calendar Spread A calendar spread, also called a time spread or a horizontal spread, involves simultaneously buying and selling options on the same underlying asset but with different expiration dates. Calendar spreads aim to profit from differences in option time decay. Call Option Call options are financial contracts that give the holder the right, but not the obligation, to buy a specific asset at a predetermined price (the strike price) before or on a certain date (the expiration date). The underlying asset is the asset that the call option gives the holder the right to purchase. Call Spread The call spread is an option strategy where one call option is purchased and another call option is simultaneously sold on the same underlying asset. Call options have different strike prices, and the option that is purchased has a lower strike price than the option that is sold. Call spreads are designed to profit from an upward move in the price of the underlying asset while limiting losses. CAPS Caps are financial contracts used to hedge against currency fluctuations, similar to options. By using it, a currency's upside potential is limited while the holder benefits from its potential depreciation. The holder of a cap has the right to buy or sell a currency, but is not obligated to do so, at a specific strike price, on a specific date or period of time. A cap rate is the strike price that determines a currency's maximum rate. Credit Default Swap (CDS) Credit default swaps (CDS) are financial derivatives that are used to transfer credit risk from one party to another. A CDS provides protection against the risk of debt default by the issuer. Cross rate In the context of foreign exchange (FX), a cross rate is the exchange rate between two currencies, both of which are not the official currency of the country in which the exchange rate quote is given. It is calculated by using the exchange rates of the two currencies relative to a third currency, which is typically a more widely traded currency such as the US dollar. Cross border payment A cross border payment is a financial transaction that involves the transfer of money between countries, typically in different currencies. Cross border payments can be made for a variety of purposes, such as to pay for goods or services, to transfer money to or from foreign bank accounts, or to make international wire transfers. There are a number of factors to consider when making a cross border payment, such as exchange rates, fees, and regulatory requirements. Cross border trade As defined by the OCDE, cross-border trade is the exchange of goods and services between residents and non-residents. It is measured in USD as a percentage of GDP for net trade (exports minus imports) and also in annual growth for imports and exports. Convertible Bond Convertible bonds are bonds that can be converted into shares of the issuer's stock or another security at the holder's discretion. Convertible bonds are a hybrid security that combine the features of both bonds and stocks. They offer the stability and regular income of a bond, as well as the opportunity to participate in the company's potential growth. Corporate Bond Corporate bonds are debt securities issued by corporations to raise capital. There are a variety of maturities available for corporate bonds, ranging from a few months to more than 30 years. The bondholder receives periodic interest, known as a coupon, and the principal is returned at maturity. Currency forward (FX forward) A currency forward is a financial contract that involves the exchange of two currencies at a predetermined exchange rate on a future date. It is a type of derivative instrument that is used to hedge against the risk of fluctuations in exchange rates. Currency hedging Currency hedging is the practice of using financial instruments or strategies to reduce the risk of losses due to fluctuations in foreign exchange rates. It is a common risk management strategy for companies and investors with international operations or exposures, as it can help to protect against the impact of currency fluctuations on the value of their assets, liabilities, and cash flows. Currency volatility Currency volatility refers to the fluctuations in the value of a currency relative to other currencies. It is a measure of the risk associated with holding or trading assets in a particular currency, and is an important consideration for companies and investors with international operations or exposures. Currency exposure Currency exposure refers to the potential impact of changes in foreign exchange rates on the value of a company's assets, liabilities, and cash flows. It is a measure of the extent to which a company is exposed to risk from movements in foreign exchange rates. A company with significant foreign currency exposure may be at risk of losses due to changes in exchange rates, which can impact the value of its assets and liabilities, as well as the cash flows from its international operations. Currency depreciation Currency depreciation occurs when the value of a currency falls against other currencies. The depreciation of currencies can be caused by economic fundamentals, interest rate differentials, political instability, or investor risk aversion. Currency convertibility In terms of foreign transactions, currency convertibility refers to the ability to exchange one currency for another at a given conversion rate. A range of degrees of convertibility can be identified, ranging from total convertibility to total inconvertibility. Convertible currency A currency is said to be freely convertible when it has an immediate value on the different international markets, and few restrictions on the manner and amount that can be traded for another currency . Free convertibility is a major feature of a hard currency. Cross currency triangulation In cross currency triangulation, monetary amounts are first converted from one national currency unit (source currency) into an intermediate currency (anchor currency). Calculation then converts the intermediate currency amount into the designated national currency unit (target currency). Cash Collection In cash collection, companies recover money from other businesses (or individuals) to whom they have previously provided invoices. Cash collection primarily aims to get invoices paid by the due date. Currency controls Currency controls (or exchange controls) limit the purchase and/or sale of currencies by governments. By limiting inflows and outflows of currency, these controls help countries stabilize their economies. Exchange controls are not available to every nation, at least not legitimately; the 14th article of the IMF's Articles of Agreement only permits their use in transitional economies. Carry Trade Carry trades involve borrowing at a low interest rate and reinvesting in a currency or financial product at a higher rate of return. Carry trades are appropriate only for investors with deep pockets due to the risks involved. Currency Score A currency score typically refers to a metric or rating system used to assess the relative strength or performance of a currency. This score can be based on several factors, including economic indicators, interest rates, inflation rates, trade balances, geopolitical stability, and market sentiment. It is commonly used by investors, traders, and economists to make decisions regarding foreign exchange (FX) markets or to analyze a country's economic health. Currency block A currency block refers to a group of countries that peg their currencies to a common standard or closely coordinate their exchange rate policies to maintain stability in international trade and finance. These arrangements can involve fixing exchange rates to a dominant currency (e.g., the U.S. dollar or euro) or managing exchange rates collectively within a region. < PREVIOUS NEXT >