Case Study: Heavy Machinery Company achieves clearer hedging and lower transaction costs with Rochford Capital

Heavy Machinery Company - Customer Case Study

Heavy Machinery Company worked with Rochford Capital to address an increasingly hard-to-manage hedge book for simple product imports. Their exposure was spread across multiple brokers and a wide range of small leveraged option structures, with no clear hedging policy, making overall hedging requirements uncertain and transaction costs difficult to assess.

Rochford Capital built a model to input cash flow forecasts and outstanding hedges, giving Heavy Machinery Company clear visibility of current exposure and enabling immediate hedging actions, along with scenario analysis for FX spot movements. Rochford Capital also designed and implemented an updated hedging policy that simplified the hedge book using FECs, while reducing transactional pricing costs—especially on option structures—and improving clarity of future CoGS commitments and forecasted earnings.