IFRS 9 drives appetite for long-dated hedges in Asia
New accounting standard helps manage mark-to-market volatility of long-term trades
New accounting rules are driving the uptake of long-dated forex hedges among Asian corporates, as growing geopolitical concerns heighten currency volatility.
“We are seeing a lot of volatility in the currency markets at the moment, and so by changing the tenor of hedges we can save on the mark-to-market costs of hedging,” says a senior manager in the Asian treasury department of a larger
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