Under the EU’s Undertakings for Collective Investment in Transferable Securities (Ucits) III guidelines, cross-border funds are booming. But so is the need to manage attendant FX exposure. Fund managers, issuing share classes in different currencies, are taking on currency risk that, typically, they lay off into one of the many bank-offered share-class hedging programmes.
When Citi announced the launch of its AutoFX passive hedge service this week, I assumed this was another share-class hedging product. But according to the press release: “The service provides new levels of flexibility, transparency and efficiency to the FX marketplace.
Access intelligence that drives action
To unlock this research, enter your email to log in or enquire about access
