Real-life problems, innovative solutions
Eric Ohayon, head of FX structuring at Bank of America in London, outlines a solution for a European corporate with concerns about euro/sterling volatility
PROBLEM: A European-based corporate with British pound receivables over the next six months is concerned about potential adverse movements in the euro/sterling exchange rate. The company would like to hedge its position, while retaining some level of participation in a potentially range-bound or weaker euro.
SOLUTION: Sterling has already
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