FX Risk Management: New Opportunities for Exposure Analysis

Tuesday, April 4th
Room 203
3:30pm – 4:45pm
Intermediate – FP&A Renewal Credit

Alison Fletcher, Corporate FX Market Specialist, Bloomberg
Zeenat Fatehi, Foreign Exchange Manager, Dell

Session Description

There is a new approach emerging from Corporate Treasuries, namely a shift away from Hedge Optimization toward FX Exposure Analysis. Many factors are contributing to this change, including heightened volatility in FX markets, continued international growth and an increased number of currencies that corporates have exposure to.

This session will consider the processes in assessing whether Treasuries hedge their entire exposure books or whether they can receive a reduction in Value-at-Risk due to factors such as correlation of currencies. Critically, we will look at the benefits and points to consider of such analysis.

By the end of this session, attendees will have learned the tools to identify and quantify their FX exposures and consider their associated risk tolerances to look at their current treasury policy with fresh eyes and determine if meets their needs or are they over hedging and in need of readjustment.