Strategic Workflow - Adding Additonal FX Cover

1. Overview

The Strategic Workflow ties together market analysis, policy positioning, and scenario planning. It helps treasury teams decide when and how much to hedge, ensuring exposures remain aligned with policy.

2. Market Positioning

Start with the Markets Overview Dashboard.
Review long-term averages (e.g., 7-year moving average).
Example: An NZ exporter may see NZD/USD 7% below its long-term average, suggesting hedging closer to policy maximums.
Use this context to guide whether to add cover.

3. Running the FX Dashboard

Navigate to FX Dashboard and run your analysis.
Identify months where coverage is below policy minimums or lighter than desired.
Example: Adding cover in May and August to bring exposures back into compliance.

4. Using the Forward Calculator

Go to the Forward Calculator.
Input trade details:
- Buy/sell currencies
- Notional amount
- Settlement date
- Margin points (optional, for realistic bank pricing)
Review outputs:
- Spot rate
- Forward points
- All-in forward rate

Tip: Enter multiple trade ideas for the identified under-covered months.

5. Scenario Analysis

Toggle proposed trades into the FX Dashboard.
View their impact on:
- Weighted average hedge rate (green dots adjust to reflect trade ideas).
- Policy compliance % (bands update dynamically).
Example: Coverage shifts from 63% to 80% or 34% to 54%, moving exposures back inside policy.

6. Export & Review

Export the updated dashboard and scenario results.
Share with your treasury advisor or team for approval before executing.
Outputs are in a clean, exportable format suitable for internal sign-off or board packs.

7. Execution

Next steps depend on your workflow:
- Place a target order with your bank.
- Execute outright trades.
Once executed, trades automatically flow into CNS via the Automated Trade Capture process.

8. Support

For more details on strategic workflows or scenario planning, see the CNS Knowledge Base or contact support@cnstreasury.com