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Understanding the Foreign Exchange Rates used in Trovata
Understanding the Foreign Exchange Rates used in Trovata

Trovata incorporates various exchange rates to ensure that there is relative a understanding of liquidity in your base currency.

David Taylor avatar
Written by David Taylor
Updated this week

Trovata incorporates multiple rates of exchange to ensure that the tool provides the most relative understanding of the value of a transaction or a balance as it relates to the base currency that the tool is set to.

FX rates are sourced directly from Oanda via API. The retrieved rates are updated hourly.

The last rate of the day is always the rate provided by Oanda for 23:00:00 UTC (6pm eastern standard time, or 7pm eastern daylight time). We always use the MID value for conversions.

⚠️ Note:

Rates of exchange in Trovata are meant to serve as reference rates. They are not the cost of converting currency (do not incorporate your agreed upon spread) nor the execution rate of a transaction.

They are a reference for the relative value for the transaction or balance in the base currency that the system is set to.

Rates throughout the day are stored and used for different purposes as they relate to specific properties within Trovata.

Balances

  • Opening Ledger Balance Converted: Leverages the first stored rate of the day

  • Closing Ledger Balance Converted: Leverages the last stored rate of the day

  • Current Available Balance Converted: The most recent received rate when the balance is retrieved

  • Composite Balance Converted: The most recent received rate or the last stored balance for the day

Transactions

  • Intraday Transactions: The most recent rate stored when the transaction is posted to Trovata

  • Prior day Transactions: The last rate stored for the day when the transaction is posted to Trovata

Updates to FX Rate Strategy

  • On November 18th, we enhanced the way non-USD data is converted throughout our system.

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