A balancing act.
At Alpha we develop FX hedging strategies that help businesses balance when, how much and how far forward to buy currency. In doing so, we give them greater control over the impact exchange rate volatility has on their profit margins, cash flow and ability to buy or sell goods at competitive prices.
The main purpose of a hedging programme is to protect businesses from external distractions that can lead them to hedge disproportionately. Such distractions typically consist of currency forecasts or the emotional attraction to an ‘optimal rate’.
At Alpha, we recognise that these distractions are steeped in speculation and will therefore naturally lead to inconsistent and uncertain results. This is why an element of formality is essential to control the impact currency volatility has on any business.
A different perspective.
Achieving consistent and effective results requires not only a change in strategy, but also a change in perspective. Fundamentally, this means managing currency in line with your commercial objectives and competitive landscape, rather than a market view or even a target hedge rate.
Ultimately, we help businesses that want to outperform their competition, not the currency market.