Guest Lecture in International Finance Course

22 Apr 2021

On 22 April 2021, our program held a guest lecture in International Finance course with the topic of Managing Foreign Exchange Risk. The guest speaker was Albert Sani, our alumni who currently works as Senior Category Finance Manager at Procter & Gamble. In this session, Albert shared his thoughts on the need to understand foreign exchange (forex) risk.  Forex risk can be big and sudden, so we need to prepare. On the other hand, forex can also become a lucrative investment. Albert also shared his tips to the students:

  1. Always start with “why”
  2. Do not give in to the situation, own the situation
  3. See the bigger picture
  4. Simple is usually better, accuracy is not always needed
  5. Devil’s in details, be precise

Having known the risk, then what to do?

  1. Define the situation: know what your currency movement trend and drivers and know your business and its forex risk
  2. Understand the forex movements: market forces and forecast
  3. Understand the business forex risk (transaction, translation, and economic risks)
  4. Plan for forex risk: design your business in the most optimal structure, hedge your position