Case Study: Plastics Importer achieves FX risk control and margin enhancement with Rochford Capital

Plastics Importer - Customer Case Study

Plastics Importer, a lean finance team with little treasury expertise, needed better oversight of its foreign exchange hedging as it priced AUD sales in a highly competitive, commoditised market. With limited access to timely market data and FX risk experience, the customer struggled to see market-moving information and key trend changes in time to make effective hedging decisions.

Rochford Capital implemented a process to capture and summarise the USD unhedged position as each AUD sale was closed, and worked with senior managers to define an appropriate risk appetite. Rochford Capital also provided ongoing FX guidance, including stop-loss tactics, key level and trend analysis, event-risk awareness, and pre-emptive hedging advice. The result was a shift from frequent currency losses to consistent profit generation and margin enhancement over more than 8 years.