Case Study: Forestry Management Fund strengthens bid confidence with Rochford Capital

Identification of Risk Should Capture All Risks Faced by Treasury, Which Means Market, Economic and Operational Risks Are Managed in a Holistic, Integrated Framework

Forestry Management Fund engaged Rochford Capital to help prepare an acquisition bid for a new asset. The fund needed a clearer way to isolate interest rate and foreign exchange risks across operating entities, the fund, and individual investors, while also determining the most suitable debt currency and understanding the overall risk profile of the bid.

Rochford Capital mapped the flow of funds, identified points of foreign exchange risk under different funding scenarios, and applied foreign currency operating cash flow forecasts with a Cash Flow at Risk analysis using a Rochford-developed model. This gave Forestry Management Fund a clearer recommendation on funding structure and its holistic risk profile, helping the fund submit a revised bid with increased confidence and set clearer expectations for global investors.