Prudence reigns

Foreign Exchange

The challenges facing risk managers at large corporations across the globe have been substantial in recent months. Having spent the first half of 2008 adapting their positions to a weakening dollar, they subsequently had to deal with a dramatic strengthening of the currency. Coupled with the large swings in foreign exchange rates, counterparty credit risk has also been a key concern for many, with several firms burnt by the collapse of Lehman Brothers on September 15 last year. A handful of unde