Risk management in a treasury sense is the mitigation of the negative impacts of the financial markets on a company’s profits. The appropriate risk management approach is shaped by a company’s risk appetite and the competitive landscape it operates within. Financial instruments such as FX forwards, FX options and interest rate swaps are used every day by companies managing foreign exchange and interest rate risk. Profits can be significantly impacted by volatile financial markets on unhedged exposures.
How Hedgebook helps:
Hedgebook’s online system records, reports and revalues FX and interest rate derivatives removing reliance on error prone spreadsheets. Combining your foreign exchange hedges, cashflows and live exchange rates Hedgebook gives total visibility over your position and the impact exchange rate movements will have on your business. Actual position versus policy limits is always visible.
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Download our introductory eBook for Importers and Exporters on how to better manage FX Risk. Understand what constitutes FX risk, whether you should be hedging against it, the common financial instruments involved and the technology tools available to make the process easier and more secure.