Dynamic Hedging
Investment philosophy
The objective of a Dynamic Hedging program is to manage currency risk in such a way as to sensibly add value to a client’s overall portfolio. The MFCM strategy is designed to reduce volatility due to currency fluctuations, protecting against downside losses, and capturing portfolio gains from currency appreciation within client determined risk parameters. The adjustment of the hedge ratio is determined by MFCM’s quantitative approach, supplemented by discretionary components.
Main benefits
Experience
Core application since 1990, providing dynamic currency risk management in 50 currencies globally.
Performance
Reducing portfolio volatility by actively managing existing currency risk and, generating performance in a sensible and sustainable manner.
Investment Approach
Model based investment process with the flexibility of discretionary inputs positioned to perform during volatile market environments and adapted to each client’s risk profile.
Cost
Highly competitive pricing with an attractive cost-benefit ratio.