Risk Management
Protect your capital from market volatility in currencies and interest rates
Risk is always a part of doing business. Needless to say, this can have an impact on your company’s cash flow. We can help protect your company against fluctuations in currency and interest rates through foreign exchange and interest rate derivatives.
To buy or sell products in a foreign country, currencies must first be exchanged. If you’re an importer, you pay for your goods in your trading partner’s currency. If you’re an exporter, they pay for your goods in U.S. Dollars. Currencies are traded on the foreign exchange (FX) market 24 hours a day, where exchange rates float freely and fluctuate constantly.
Our FX products are designed to help you take advantage of exchange rate movements and provide a hedge against fluctuations. Our team of experts can help you establish an FX strategy that addresses your specific needs and can execute these trades for you on our real-time trading system.
Foreign Exchange Strategies:
-
Spot Transactions
-
Currency Forward Contracts
-
Non-Deliverable Forward Contracts
-
Call and Put Options
There is considerable exposure to risk in any foreign exchange transaction, including, but not limited to, leverage, creditworthiness, limited regulatory protection and market volatility that may substantially affect the price or liquidity of a currency or currency pair.
-
Interest rate derivatives are hedges used to combat changes in market interest rates and help reduce the risk of doing business globally. They create an opportunity for enhanced revenue and flexibility. Our team of experts will tailor a solution that matches your needs.
Interest Rate Strategies:
-
Swaps
-
Caps & Collars
-
Forward Rate Agreements
-
Call and Put Options
Derivative trading may not be suitable for all investors; consult with your relationship manager for more information.
-