SMEs, the benefits of simplified FX products, such as forward and options contracts, are clear. Moreover, they are straightforward to understand and use. However, the vast majority of SMEs don’t hedge at all, an extraordinary fact given the often grim consequences for corporate profit margins. Like when Apple lost $3.73 billion due to currency fluctuations…

OANDA proudly partners with IATA, the International Air Transport Association, to provide the airline industry with accurate, automated, and reliable exchange rates data for their finance team’s currency conversion needs.

Gold prices are on the way up as more and more traders turn bearish and take money out of bullish equity and currency trade positions. 

Make no mistake, the uneasy relationship between gold prices foreign currency fluctuations is both real and potentially damaging in a global economic environment that edges closer to the precipice in the last quarter of 2019 – and heading into the new year.

The U.K. parliament is back in session and all eyes are on the British Lion as October 31 looms.  

That’s the date new prime minister Boris Johnson promises to take the U.K. out of the European Union, deal or no deal. 

There are several countries around the world with which companies are prohibited from carrying out any sort of financial transaction. The reason for these bans is that the countries are blacklisted under authority of the Financial Action Task Force (FATF), an intergovernmental body that the G7 group of nations founded in 1989.

According to the U.S. Small Business Administration1 there were 30.7 million small businesses operating in the U.S. in 2018, employing 59.9 million people, or 47.3% of all U.S. employees, the SBA notes.

While these small businesses are spread across every state and city in the country, some cities stand out as being more welcoming for small companies than others, especially entrepreneurial start-ups just opening their doors.

FX risk management is filled with nuances affecting how some exposures are commonly hedged versus others, but there is one crucial differentiator dividing two very different approaches – that of forecast versus balance sheet exposures. This is the first delineation to be made when we characterize FX exposures.

It is said that the two happiest days in boat owners’ lives are the day they buy the boat, and the day they sell it.  If you own a boat, you understand this ism based on the money and effort it costs to keep a boat. Executives feel the same fervor when their operations expand into fast growing economies with large populations…

In an earlier article, we helped you build a foundation for your FX risk management strategy with a “brick and mortar” analogy… the process of collecting exposure data and executing hedges we described as “bricks,” and risk measurement and analysis using VAR and confidence intervals were described as “mortar.” This article will discuss a crucial step in your foundation-building process: gathering accurateFX exposure data.