With all the difficulties companies have encountered the last few years, the annual budget and planning exercise may be particularly challenging. Those whose company’s fiscal year is the same as the calendar year may be dealing with this challenge currently, but regardless of the timing, Treasury organizations seem to constantly be battling to obtain or […]
Forecasting is inherently difficult, but forecasting the non-functional currency portion of a balance sheet can be even more problematic. While cash flow hedging results are often passed onto the businesses, this is typically not the case with balance sheet hedging. There is also little accountability throughout a company for the line items on the balance […]
Forex risk management is an important aspect of every multinational company’s business and having the right forex risk management strategies is crucial in order to achieve financial targets. Forex risk management can be very complex, and according to a recent Global Treasury Survey conducted by Deloitte, forex volatility ranks as the top challenge facing Treasurers today. The […]
If it’s the end of the quarter and you need to close the books in a few days – can you adequately explain the FX results to senior management with confidence? Shortly before the end of a fiscal period, an unexpected exposure hits the books, resulting in a significant FX loss. Are you ready for […]
Unless your entity structure and level of FX exposures is extremely simple, using only spreadsheets for FX risk management can lead to a host of problems. Multiple dimensions such as currency, time, entity and exposure line items can quickly go beyond the two dimensional capability of spreadsheets. Linkages to multiple spreadsheet tabs or other spreadsheets […]
