INTL FCStone’s Global Financial Risk Advisory team brings a consultative approach to clients’ FX risk management needs, including risk analysis and identification, hedge design and strategic planning, hedge execution, position reporting and clearing, and ongoing hedge/risk management. With customers around the world in the Americas, Europe, Australia, Asia, Africa and the Middle East, INTL FCStone has a broad range of experience and an excellent reputation with its clients around the globe.
Due to the daily volatility in the FX currency markets, conversion risk for income, interest payments, assets and liabilities can complicate budgeting, planning, and business forecasting. In turn, this can lead to poor returns and operating losses. Broadly speaking, non-U.S. entities typically have the greatest exposure to FX risk since the U.S. dollar is used for pricing and invoicing the majority of world trade. Entities outside the U.S. who produce goods valued and/or denominated in dollars (such as grains, other foods, energy, mining output, manufactured goods, etc.) or who have dollar denominated input costs (such as energy, fertilizer, metals, etc.) are required to continually convert U.S. dollars back to their domestic currency and vice versa. Additionally, dollar loans made around the world to non-U.S. entities can represent a significant risk exposure.
The INTL FCStone group of companies offers a broad array of professional services and access to the global foreign exchange markets for commercial and institutional clients. Experienced FX teams in London, Sao Paulo, NY and Chicago provide recognized advisory, execution and clearing services in many tradable currency pairs and derivative instruments.