In a recent survey of 180 global finance professionals, 74 percent of responders reported that they are experiencing FX volatility. Approximately 87 percent of these professionals are currently managing these risks centrally. Though the majority of the responses show central management, the concepts and approaches used vary widely. No risk management concept was used by a majority of finance professionals surveyed, though FX exposure netting was favored more than other concepts. Responses were evenly split for FX management instruments, with 35 percent of responses indicating FX spots and 35 percent indicating FX forwards.
While no concept or instrument was shown as a clear favorite for survey responders, the majority of finance professionals who participated did agree on one thing: their FX management method needs improvement. The responses show that 60 percent of the participants are planning new FX management initiatives. To learn more about FX volatility and the future of FX management, have a look at the infographic below.