Frequency of use continues to grow
Last year the number of users accessing Hedgebook multiple times a month or several times a week increased by around 70%. In 2023 we saw those using Hedgebook daily jump up from 3% of users to 11%.
Those using Hedgebook on a weekly basis also increasing by around ~20% Those using Hedgebook monthly decreased accordingly and we are pleased to report there was no-one using Hedgebook on a purely annual basis.
Market volatility has moved from FX to interest rates and we are seeing greater numbers hedging via interest rate swaps and caps. This has also meant we are developing more functionality in this space.
Interest rate swaps key for 30% of Hedgebook users
We introduced a couple of new questions for the 2023 user survey around Interest Rate Swaps. It revealed this is the core focus for around a third of Hedgebook users. However, there is an equally significant overlap
as roughly a third reported using Hedgebook to manage both Interest Rate and FX hedging leaving a third solely focused on FX hedging
While a couple of respondents admitted to not realizing Hedgebook could do this, the majority who aren’t hedging Interest Rates with Hedgebook simply don’t carry enough debt to warrant it.
Improving operational efficiency is the big mover in why customers use Hedgebook
Leaping from fifth to number one – ‘operational efficiency through automation and streamlining’ is the key reason customers cite for using Hedgebook. Hedging multiple instruments also makes it back into the top five having been absent in 2022.
How they ranked (compared to 2022):
- Improving operational efficiency (5)
- Reduce human error (1=)
- Year end compliance (1=)
- Automate reporting (3)
- Hedging multiple instruments
Big shift back to visibility and control
Hedgebook giving greater visibility and control on hedged positions was the key driver for using the tools. Data confidence (last year’s number two driver) was seen as less important this year with ‘increased productivity’ and ‘meeting year end compliance’ moving into the second and third slots, respectively.
5. Consistent delivery on reliability
Finally – it was really pleasing to see ~90% of users surveyed rate Hedgebook as having excellent reliability – continuing its number one rating since we started this survey. Support was the big mover up from number four to taking second spot this year with ‘value’ steady in the third position.
- Ease of Use
As these are all key things we are focused on continuously improving it is great to see them continuously rated as the top five benefits our users value as well.
But the 2023 user survey wasn’t all plain sailing
You’ve got it; like any user survey we’re always going to pick on the positive responses in putting this blog together. But we thought it was worth mentioning we pay equal (if not more) attention to the areas our users say we can improve on – particularly their ideas for product or service improvements.
In the past year the 2022 survey results have given rise to more training sessions, improved help and support notes, additional functionality around Interest Rates – with even more on the way. We have also continued to develop tools for corporates to engage more effectively with their banks and brokers – and for banks and brokers, in turn, to offer more value to their customers.
While the survey is an annual event we’re always open to feedback or questions – particularly if you’re yet to give Hedgebook a try.
Finally, a very big thank you to everyone who responded to the 2023 survey – we quite literally can’t do what we do without you.