Balance Sheet Hedging
Is your FX remeasurement process creating unwanted losses on your Income Statement?
Reduce the likelihood of a foreign exchange loss
By outsourcing your balance sheet hedging to Corpay, we provide you with a global, consolidated view of exposures, reducing the scale and likelihood of a foreign exchange loss in each accounting period. Our solution uses advanced analytics to identify Value at Risk for a range of time periods and confidence intervals, helping you manage volatility on your balance sheet from FX remeasurement and reducing hedging transaction costs by adjusting and rolling hedges less frequently.
Essential features and benefits
Data capture, allowing you to create an ERP extract report with balance sheet exposures
Data aggregation, run through our proprietary algorithms to calculate net exposures and assess global value at risk
Advanced analytics, where a historical Value-at-Risk analysis provides insight into currency correlations in the portfolio to identify which exposure pairs are causing the most risks and may require an FX hedging strategy, and which pairs may be providing a benefit
Net exposure levels are clearly defined and identified as long and short currency positions by currency pair, providing a simple set of triggers for hedging activity
Hedge scenarios are provided based on your pre-defined hedge policy mandates, along with views of different hedge scenarios at different coverage levels
Currency hedging execution, rolling short-term forwards or other instruments to hedge material net exposures
Discuss your needs with one of our consultants
Talk to us about how we can help solve your payment pains.