Effective currency hedging is a balancing act. One that requires you to ignore every distraction around you, and stay focused on your end goal.

The balancing elephant,

At Alpha, we specialise in helping corporates and institutions manage their foreign exchange exposures more effectively and efficiently.

To find out what this has to do with a balancing elephant, please select your organisation type below.

Corporate Institution

The elephant in the room.

There is no shortage of advice or opinions on where exchange rates are going.  However, for those responsible for deciding how to manage their currency exposures, the elephant in the room is obvious – in the long-term, nobody can reliably predict the currency market.

Despite this, currency purchasing decisions are still frequently based on a ‘best guess’ and therefore companies remain materially vulnerable to currency risk.  Behavioural trends such as ‘prospect theory’ and ‘confirmation bias’ explain why this happens; what they don’t do is provide a better way for handling currency uncertainty.

This is where our approach comes into play.

Un ejercicio de equilibrismo.

En Alpha desarrollamos estrategias de cobertura cambiaria de divisas extranjeras con el objeto de ayudar a las empresas a encontrar el equilibrio entre cuándo, cuánto y hasta qué punto comprar divisas, de manera que obtengan un mayor control sobre el impacto que la inestabilidad de las tasas de cambio ejerce sobre sus márgenes de ganancias, flujo de efectivo y capacidad de comprar o vender productos a precios competitivos.

Ignore las distracciones.

La principal finalidad de un programa de cobertura es proteger los negocios de distracciones externas que les pueden llevar a cubrirse de una manera desproporcionada.

Dichas distracciones consisten típicamente en previsiones cambiarias o la atracción de tipo emocional hacia una “tasa óptima”.

En Alpha, reconocemos que las decisiones tomadas con finalidades especulativas conducen, por definición, a resultados inciertos. Por ello creemos que es esencial un elemento de formalidad para controlar el impacto que la inestabilidad de las divisas ejerce sobre cualquier negocio.

Una perspectiva diferente.

La consecución de resultados consistentes y efectivos requiere no solo un cambio de estrategia, sino también un cambio de perspectiva. Básicamente, esto significa gestionar las divisas teniendo en cuenta sus objetivos comerciales y su panorama competitivo, en lugar de tener en cuenta una visión de mercado o incluso una tasa de cobertura meta.

En resumidas cuentas, ayudamos a los negocios que desean superar a la competencia, no al mercado de divisas.

It’s not enough to be different.

We’re aware that everyone claims to be different in our industry.  We’re also aware that externally, the common perception is we’re all the same.

Whilst naturally we don’t think this is the case, we ultimately believe it’s the companies we are associated with that best illustrate we are doing something different.  These include our investors (a selection of which are below) and our clients, whose testimonials you can read here.

  • Artemis
  • Octopus Investments
  • M&G Investments
  • Close Brothers
  • Hargreave Hale
  • Miton
  • Old Mutual
  • Soros
  • Unicorn Asset Management
  • River and Mercantile
  • Jupiter
  • Chelverton Asset Management

Para saber más.

Para saber más acerca de los servicios que hacen de Alpha algo único, lea nuestro enfoque..

Si desea ver ejemplos de los clientes con los que trabajamos y saber lo que dicen de nosotros, lea  nuestros testimonios. .

The elephant in the room.

There is no shortage of advice or opinions on where exchange rates are going.  However, for those responsible for deciding how to manage their currency exposures, the elephant in the room is obvious – in the long-term, nobody can reliably predict the currency market.

Institutions therefore have two options: do nothing, and leave the investment exposed to currency risk or implement a currency management strategy.

The value of certainty vs the cost of securing it.

Whilst implementing a currency management strategy is typically the most logical option, it can often be time consuming and expensive.  At the same time, an effective strategy for many requires hedging which can also create further problems in terms of liquidity.

Understandably, if the time and cost of implementing a currency management strategy balances out against, or even outweighs the protection it provides, investment managers are right to question its value.

Tipping the balance.

At Alpha, we’ve honed our to approach to ensure the value of our currency management strategies far outweigh the time and cost of implementing them.

The way we do this is simple;  at no upfront cost  we devise a strategy that enables investment managers to achieve the certainty they desire and protect their investment’s performance.  With the value of this strategy evidenced, we then provide support and technology that ensures adopting and maintaining it is simple, cost-effective and supportive of their cash flow requirements.

It’s not enough to be different.

The FX industry has become heavily commoditised and investment managers are therefore right to be sceptical when it comes to foreign exchange providers claiming to offer something different – ourselves included! Ultimately, being different is only relevant if it’s adding value and this is decided not by us, but by our clients and investors.

  • Artemis
  • Octopus Investments
  • M&G Investments
  • Close Brothers
  • Hargreave Hale
  • Miton
  • Old Mutual
  • Soros
  • Unicorn Asset Management
  • River and Mercantile
  • Jupiter
  • Chelverton Asset Management

Find out more.

To find out more about the different ways we can support your business, read our approach.

To view more of the investors who have chosen to support our business, please click here.