FX Risk Management Maturity Model Foreign exchange (FX) risk management involves identifying, analyzing, and prioritizing various foreign currency exposures, and developing and implementing a coordinated and systematic plan that utilizes company resources efficiently and effectively to mitigate FX risk. The degree to which companies implement adequate foreign exchange risk management practices can vary substantially, from not managing the risk at all to engaging in robust hedging activities, and as a result, the impact on the bottom line can vary widely across organizations. This FX Risk Management Maturity Model outlines the 5 stages of a comprehensive currency risk management program. The process involves performing a FX risk assessment, developing a FX risk management policy, and implementing progressive FX hedging strategies. 5 Stage FX Risk Management Maturity Model FX Risk Assessment: Exposure Identification & Measurement FX Risk Management Policy: Hedging Guidelines & Procedures Balance Sheet Hedging: Booked Receivables & Payables Cash Flow Hedging: Forecasted Revenues & Expenses Net Investment Hedging: Subsidiary Earnings & Equity The design and implementation of a FX risk management program must take into account the specific goals and objectives of the firm, the organizational structure and operations, the line of products and/or services, and any other variable that may be material and of relevance. For firms that are new to foreign exchange risk management, emphasis should be placed on progress over perfection. Initial risk management plans are never perfect, and should be viewed as a process that is responsive to change and capable of continuous enhancement. To learn more about FX risk assessments, policies, and hedging strategies, start your FX risk management training today, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples & events at FXCPE.com. Start FX Training January 25, 2022By FX Initiative General accounting, business, CPE, currency, derivatives, development, economics, exchange, expense, finance, foreign, fxcpe, fxinitiative, gain, global, hedging, international, loss, management, payable, payments, professional, receivable, revenue, risk, training, treasury 0 0 Comment
2022 Program: Currency Risk Management Training FX Initiative is pleased to present our 2022 program on currency risk management training to our global audience of finance, accounting, and treasury professionals. Download the PDF brochure and discover our foreign exchange (FX) continuing professional education (CPE) training videos, software tools, and webinar topics at FXCPE.com. Our mission is to help global businesses and sales professionals communicate FX risk management best practices efficiently and effectively. FX Initiative is a member of the National Association of State Boards of Accountancy (NASBA) National Registry of CPE Sponsors, and approved for self-study, internet-based, and in-person programs. Download the PDF Since 2010, FX Initiative works with Fortune 500 companies, small and medium-sized enterprises (SMEs), and FX product & service providers on understanding, identifying, assessing, and mitigating currency risk. FX Initiative is an unparalleled resource for foreign exchange risk management and continuing professional education. Managing currency risk remains a high priority for global organizations in 2021. To optimize your firm's international operations, start your FX risk management training today, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples & events at FXCPE.com. Start FX Training January 11, 2022By FX Initiative General 2022, accounting, brochure, business, CPE, currency, derivatives, education, events, examples, finance, fxcpe, fxinitiative, global, hedging, international, management, multinational, payments, risk, trading, training, treasury, webinars 0 0 Comment
January 2022 Newsletter New Year Knowledge: Read our January newsletter and discover the latest blog posts and insights from FX Initiative on currency risk management. We help finance, accounting, treasury, and sales professionals stay up to date with new training content, CPE webinars, and helpful tips & resources. Scale the learning curve quickly and easily with our foreign exchange risk management training, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples and events at FXCPE.com. Start Training > View Newsletter January 4, 2022By FX Initiative General 2022, accounting, CPE, currency, derivatives, development, ecoonomics, education, events, examples, finance, fxcpe, fxinitiative, HappyNewYear, hedging, learning, management, NewYear, professional, risk, training, treasury, webinars 0 0 Comment
End-of-Year FX Education Take advantage of end-of-year foreign exchange (FX) education by completing our 6 part foreign exchange risk management training program. Whether you need to research a foreign exchange educational topic related to your global business, or want to simulate a foreign exchange risk management strategy using our interactive examples, we offer a wide array of quality informational topics and tools that can help you manage FX risk. FX Initiative is designed to make complex foreign currency matters simple and manageable, and is accessible 24 hours a day 7 days a week to meet your global business needs whenever and wherever a foreign exchange opportunity arises so you can make the right decisions to meet your FX objectives. FX Initiative helps Banking & Treasury Professionals answer FX risk management questions such as: How to manage currency risk? How to draft a FX risk policy? Where to look for FX risk exposures? What currency risks to hedge and how? Which strategies meet FX hedge objectives? What are the economics? How to do FX accounting? Get acquainted with all of the educational topics and interactive examples available exclusively to subscribers. We encourage you to start by watching our 6 part online video series, then review and test with quizzes and CPE exams, and reinforce learning using real-world examples. Throughout your learning experience, feel free to visit our terms glossary and frequently asked questions for clarification or contact our support department for help along the way. Student Subscribers have access to the following 6 one-hour long currency risk management educational videos, as well as review quizzes, CPE Exams, CPE Credits, and Certificates of Completion: Foreign Exchange (FX) Market Overview FX Risk Exposures FX Risk Management FX Spot & Derivatives Hedging FX Transactions Hedging Foreign Subsidiaries Professional Subscribers have access to all Student benefits, plus access to our complete suite of interactive examples to help reinforce learning concepts and model risk management strategies: Currency Code Locator FX Risk Policy Drafter FX Derivative Speculator FX Transaction Simulator FX Subsidiary Consolidator FX Initiative training is available 24/7 365 to help you with FX risk policies, FX accounting, FX hedge strategies, and everything FX risk management related. Controllers and consultants alike can enhance their foreign exchange policies and procedures and simulate common hedging strategies using our collection of tools to clarify complex issues in real time to predictably mitigate currency risk when transacting across borders. FX Initiative is focused on foreign exchange and continuously strives to deliver world class foreign exchange (FX) continuing professional education (CPE), examples and events on currency risk management. To take advantage of end-of-year foreign exchange (FX) education, start your FX risk management training today, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples & events at FXCPE.com. Start FX Risk Management Training > December 14, 2021By FX Initiative General accounting, business, collars, courses, CPE, currency, derivatives, development, education, events, examples, finance, forwards, fxcpe, fxinitiative, global, hedging, internatinal, learning, management, options, payments, professional, risk, training, treasury, webinars 0 0 Comment
December 2021 Newsletter December Professional Development: Read our December newsletter and discover the latest blog posts and insights from FX Initiative on currency risk management. We help finance, accounting, treasury, and sales professionals stay up to date with new training content, CPE webinars, and helpful tips & resources. Scale the learning curve quickly and easily with our foreign exchange risk management training, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples and events at FXCPE.com. Start Training > View Newsletter December 7, 2021By FX Initiative General accounting, blog, business, CPE, currency, derivatives, development, economics, education, events, examples, finance, fxcpe, fxinitiative, global, hedging, insights, international, learning, management, newsletter, payments, professional, risk, training, treasury, updates 0 0 Comment
Features of FX Forward Contracts Features of FX Forward Contracts (Video): Find out the distinctive features of foreign exchange (FX) forward contracts and discover how they can be used to hedge FX risk. This video is a preview of FX Initiative’s FX Spot & Derivatives course as part of Learning Objective #1. To learn more, start your FX risk management training today, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples & events at FXCPE.com. Start FX Training November 30, 2021By FX Initiative FX Spot & Derivatives, FX Transaction Simulator accounting, business, collars, corporation, currency, derivatives, expense, finance, foreign, forex, forwards, fxcpe, fxinitiative, global, hedging, international, management, multinational, operations, options, payable, payments, receivable, revenue, risk, subsidiaries, trading, training, treasury 0 0 Comment
Recognizing FX Revenues & Receivables Recognizing FX Revenues & Receivables (Video): Explore the economic and accounting similarities and differences between forecasted and booked foreign exchange (FX) transactions using the FX Transaction Simulator tool. To learn more, start your FX risk management training today, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples & events at FXCPE.com. Start FX Training November 16, 2021By FX Initiative Examples, FX Risk Exposures, General accounting, business, CPE, currency, derivatives, development, education, events, examples, FASB, finance, fxcpe, fxinitiative, global, hedging, IASB, international, learning, management, payments, professional, risk, training, treasury 0 0 Comment
November 2021 Newsletter Explore our November 2021 newsletter and discover the latest blog posts and insights from FX Initiative. We help finance, accounting, treasury, and sales professionals stay up to date with new training content, CPE webinars, and helpful tips & resources. Get started with our foreign exchange risk management training, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples and events at FXCPE.com. Start Training > View Newsletter November 2, 2021By FX Initiative General accounting, best practices, business, CPE, currency, derivatives, education, events, examples, finance, forex, fxcpe, fxinitiative, global, hedging, international, learning, management, payments, policy, risk, training, treasury, videos, webinars 0 0 Comment
Applying FX Accounting Booking Rates Applying FX Accounting Booking Rates (Video): Recognize how businesses use specific foreign exchange (FX) rates, such as the daily FX spot rate or prior month end FX spot rate, for accounting purposes to record FX transactions on the financial statements. This video is a preview of FX Initiative’s Balance Sheet Hedging webinar as part of Learning Objective #4. To learn more, start your FX risk management training today, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples & events at FXCPE.com. Start FX Training August 24, 2021By FX Initiative Examples, FX Risk Management accounting, best practices, cashflows, CPE, currency, derivatives, economics, education, finance, financial reporting, forex, fxcpe, fxinitiative, hedging, learning, management, professional development, risk, strategy, trading, training, treasury 0 0 Comment
Centralizing FX Treasury Capabilities Centralizing FX Treasury Capabilities (Video): Discover how centralized FX risk management functions provide global firms with greater visibility across the enterprise. This video is a preview of FX Initiative’s FX Risk Management course as part of Learning Objective #1. To learn more, start your FX risk management training today, which provides 24/7 365 access to our complete suite of foreign exchange (FX) continuing professional education (CPE), examples & events at FXCPE.com. Start FX Training August 17, 2021By FX Initiative FX Risk Management, FX Risk Policy Drafter, General accounting, centralize, corporate, CPE, currency, derivatives, development, economics, education, finance, forex, fxcpe, fxinitiative, hedging, learning, management, multinational, operations, payments, personnel, policy, professional, resources, risk, simulation, strategy, trading, training, treasury, visibility 0 0 Comment