buy forward

verb

Definitions of buy forward

English

to buy foreign currency, securities, or goods etc. because you think that there will be a rise in price or increase in demand. Buying forward allows an investor to take advantage of future increases in price and demand by buying now at a lower price, and selling later when prices rise.

For everyone who has sold the dollar forward (against the yen), there is someone who has bought the dollar forward (against the yen).