So you know your currency exposure. Do you? You know your transaction exposure? Do you know your translation or economic exposures? Do you need to know them?
In most cases the currency exposure is just the number that a spreadsheet calculated with the information provided. Analyzing the data within spreadsheets has been an impossible task. While seemingly impossible, one needs to know and understand the input data not only for informational value or better decisions, but also for regulatory purposes. For example, not having visibility to whether all monetary assets and liabilities are properly identified for re-measurement can cause significant problems.
Not only the treasury departments, but also controllers and the C level of organizations are affected. Analysts are increasingly asking the tough questions regarding currency exposures. The hard truth is that if the C level does not have the right answers, the share price will reflect that.
Professor Fireapps is working on a White Paper that will dig deep into the area of what corporations need to know. As the Professor is drafting the paper based on its 20 plus years of experience, he would appreciate any specific questions and feedback that can be included in the study.
