Currency Risk Management

Mitigate currency risk with targeted strategies

Manage currency risk and protect profits by using foreign exchange hedging products to stay ahead of fluctuating currency markets.

Hedging strategies

Hedge foreign exchange risk in a wide range of foreign currencies, and implement customized strategies to help safeguard and strengthen your business.

  • Forward contracts: “Lock-in” foreign exchange rates for the exchange of currencies on a future date to protect profit margins.
  • Currency options and option strategies: Tailor a customized currency hedging strategy that fits your risk mitigation needs. Option strategies can often be structured with little or no upfront payment.
  • Non-deliverable forwards: Hedge foreign exchange risk in markets for which standard delivery of a currency is not available.
  • Cross-currency swaps : Hedge long-dated foreign exchange risk by creating an appropriate asset-liability capital structure.

The transactions described herein involve potential costs and risks. Please review roles, responsibilities, and risks.

FX Risk Management

View the FX Risk Management Practices Survey report to learn how companies are measuring and addressing foreign exchange risk.