Lack of FX hedging threatens Australian firms’ survival

“We have seen many companies turn away from hedging, especially less sophisticated, smaller firms, and these companies will run huge exposures to the Australian dollar going up in value without protecting themselves against a fall in its value, which could threaten their existence,” said Merrick. Many small companies are already dissolving because they use insufficient hedging strategies, he added.

“Hedging is the latest dirty word, because a significant number of high profile companies have

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