FX risk management is a niche area in finance that can have a dramatic impact on an organizationÕs financial results. Yet there are few resources available for corporate professionals to learn about currency exposure and risk. Most training is done on the job, and is often focused on providing the knowledge required to execute hedging activities.
My goal with this reference guide is to introduce the concepts of FX exposure and risk, including the
background information and financial building blocks that are required to grasp more complicated
currency concepts. It is a condensed overview of the tools and tricks of the trade I have accrued over the
years to help facilitate worthwhile discussions of FX.
FX Foundations is designed to provide a conversational
understanding of these topics including: fundamental
accounting concepts, introduction to financial statements,
accounting for FX, and foreign exchange exposure and risk.