Treasurers are consistently faced with the challenge of managing P&L and its principal drivers. FX risk arising from balance sheet exposures might have a material impact on the company’s financial result and is often affected by various sources of “noise”. Hedging and valuation are frequently linked to a specific target rate, which acts as a main driver of hedging effectiveness and therefore requires a precise and strategic management approach.

HUGO BOSS AG partnered with Bank of America to develop an innovative, automated, FX transaction-based risk management solution to de-risk balance sheet currency exposures while minimizing balance sheet noise. In this session, we present the solution and describe the journey to get there.