Risk Management

Foreign exchange markets move quickly, and without a plan, businesses exposed to currency fluctuations can suffer unpredictable costs and shrinking margins. 

At Affinity Exchange, we take a meticulous, consultative approach to currency risk management. We get to know your business, its financial goals, risk appetite, and competitive environment to build a bespoke hedging strategy that safeguards your bottom line. 

Whether you’re paying international suppliers or receiving foreign revenue, an effective strategy helps turn market volatility into an advantage, not a threat. 

The benefits

Why should businesses hedge?

Protect Profit Margins

Avoid unexpected losses caused by adverse market movements.
01

Gain Budget Certainty

Fix rates ahead of time to plan confidently and avoid surprises.
02

Strengthen Relationships

Deliver timely payments without worrying about shifting exchange rates.
03

Seize Market Opportunities

Benefit from strategic timing to take advantage of favourable rates.
04
Our hedging products

Unique FX strategies built for your exact requirements

Risk Appetite

Each risk management strategy we design is bespoke, but generally fits into one of two categories:  

01

Ideal for businesses with a low risk appetite, these strategies prioritise stability over upside. A high percentage of exposure is locked in with longer-term contracts to ensure costs are protected and no losses are incurred, protecting margins in volatile conditions. 

02

Layered Hedging

An agile strategy that uses multiple overlapping hedging contracts to manage currency risk. It offers downside protection while retaining flexibility to benefit from upside movements. By staggering hedge maturity dates and reserving funds, businesses can respond to market changes and improve their overall position over time. 

Our Process

The journey to a better FX strategy starts today

Our bespoke risk management strategies are built with no stone left unturned to ensure your objectives are met.  

01

Free consultation

Start with a no-obligation consultation with a currency specialist who will get to know your business, industry, currency requirements and financial objectives before any transactions are made.
02

Internal Analysis

Our analysts and strategists will assess your information and develop a custom strategy aimed to reduce or eliminate currency risk, and ensure optimal market entry.
03

Strategy Execution

Once signed off, your FX strategy is ready to be executed and managed by one of our senior account managers.

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