Financial and Commodity Risk Management

Our Financial and Commodity Risk Management practice deals with the strategic risks that Treasurers face in managing a global portfolio. We carefully identify all of the risk components facing a company based on geographic presence, transaction flows, financial situation and risk appetite. This approach will:

  • Clearly identify exposures and document existing hedging practices. We develop a profile of risk components that may include underlying exposures in certain contractual arrangements, financing obligations or investments. Business operational requirements, risk philosophy and customer/vendor relationships are examined to assess the “manageable ” and “tolerable” components of existing risk.
  • Determine the most appropriate hedging techniques, including natural offsets, netting opportunities and derivative instruments. We will work with treasury and accounting to insure that these techniques are effective from a hedge accounting perspective.
  • Develop an operational policy and procedures manual which will define exposures, set hedging limits or bands, specify approved hedging instruments and delineate authority limits.
  • Please visit the Publications page to download our articles on risk management.