Companies operating in a multi-currency environments may be exposed to big translation and transaction risks due to the fluctuation of currency exchange rates. Good governance requires controlling that risk, however, reporting it centrally often becomes cumbersome. Consequently, foreign currency hedging may be handled locally by individuals with limited information, which in the worst-case can result into even bigger risks
Continuous, centralized visibility to the foreign currency positions allows the corporation to execute a group-wide hedging policy while supporting the off-shore entities in managing their risks locally when necessary. Implementing a solution that collects the currency exposure information and hedging activities into a single interface not only supports governance excellency but also allows for cost savings in terms of FX (foreign exchange) pricing and reduced work time.
Trezone Dealing module allows the business units to handle their currency dealing needs as well as loans and deposits online with the Treasury. Units can request internal and external deals from treasury and report external deals done with local banks.
Trezone supports FX spot, forward and swap deals and fixed interest rate loans and deposits. Variable interest rate loans and deposits can be enabled through an integration into a Treasury Management System.
Subsidiaries can report deals done with their local banks. This allows the Treasury to have global visibility into FX positions and hedging, even in a distributed model.
All open and already matured deals in a single place for business units and treasury. Business units can decide if they want to let the deals mature or roll them over.
Spot prices and forward points available for most currencies through an automatic rate feed from Xignite.
Treasury users can price any number of deals simultaneously and select to use either the automatically updated market rates or their own rates. Deals below a certain limit can be priced automatically.