For our institutional investors and industrial companies, we offer an overlay management strategy in the form of tailored solutions to hedge their foreign investments.
We understand overlay management as the collateralization of foreign assets against currency fluctuations as well as the generation of a risk-adjusted excess returns.
The risk of currency fluctuations in investments, debt or with trades abroad is often underestimated. An investment in foreign stocks can be quite profitable. However, a depreciation of the foreign currency can result in a significantly lower gain in your domestic currency or even result in losses. Another problem can occur when in debt in a foreign currency.