Advanced FX Hedging Strategies and FX Integration in ERM
Course description
SPECIAL SUMMER OFFER – REGISTER NOW & SAVE £200!
This full day workshop provides a comprehensive overview of advanced Foreign Exchange (FX) Risk management including sophisticated Hedging strategies, from foundational concepts to complex hedging needs, and key regulatory/strategic challenges faced by Risk Managers and portfolio managers. The course investigates the limitations of vanilla strategies and provides sophisticated instruments and frameworks necessary for effective risk mitigation in today’s volatile markets.
The workshop provides an overview of the advanced techniques within the current regulatory and accounting landscape, clarifying the impact of IFRS 9, ASC 815, and Basel III/IV on hedging program design and effectiveness assessment. The session includes worked examples and case studies for advanced hedging instruments, moving beyond Forward based vanilla hedging to analyse the strategic application of structured products—such as participating forwards, seagulls, and barrier options—for cost reduction, yield enhancement, and tailored risk exposure. Practical quantitative exercises help delegates with tools to evaluate the payoff profiles, risks, and true cost of these complex structures.
The workshop focuses on integrating FX risk into a holistic enterprise risk management (ERM) framework. The course describes currency overlay programs, hedge optimization for multi-currency portfolios and illiquid assets, and advanced performance attribution to separate hedging cost from currency alpha. Delegates are introduced to rigorous methodologies for risk budgeting, stress testing, and scenario analysis to prepare for market dislocations.
Specialized topics such as Emerging Market/NDF hedging and considerations for specific institutional types like family offices and insurers are described with industry examples and case studies, ensuring relevant and actionable insights for all attendees. Delegates will gain advanced knowledge and analytical frameworks required to design, implement, and oversee robust, strategic, and defensible FX risk management programs.
What will you learn
Key learning objectives:
- Integrate FX risk into holistic enterprise risk frameworks
- Evaluate and implement advanced hedging structures (e.g., structured forwards, exotic options) to achieve specific risk-adjusted return objectives
- Navigate the interplay between hedge accounting standards (IFRS 9/ASC 815) and financial regulation (Basel III/IV, EMIR) in program design
- Integrate FX exposure into a holistic ERM framework, applying portfolio-based tools like VaR, CVaR, and hedge ratio optimisation
- Design and critique currency overlay programs and hedging strategies for complex portfolios, including fixed income, equities, and alternative assets
- Conduct sophisticated cost-benefit analysis, performance attribution, and tail-risk stress testing for FX hedging programs
- Address the unique hedging challenges presented by Emerging Markets, Non-Deliverable Forwards (NDFs), and specific institutional mandates
You may be also interested in:
- Investment Performance Measurement, Attribution and Risk
- Clearing, Settlement & Counterparty Risk
- International Payments
- Operational Resilience Preparedness and Compliance
- IFPR & ICARA
- CoRep, FinRep & Capital Adequacy
- Regulatory Reporting for EMIR, MIFIR & SFTR
Register for any 2 courses at the same time & Save extra £100 (in total, not per course).
Main topics covered during this training
- Regulatory Frameworks & Accounting Standards
- From Vanilla Hedging to Structured forwards (participating, forward extra, accumulators), seagulls, cylinders
- Optionality Strategies
- FX Risk in Integrated Risk Management
- Portfolio & Asset-Liability Management (ALM) Perspective
- Risk Budgeting & Performance Attribution
- Quantitative Approaches & Hedge Optimisation
- Machine Learning Applications
- Cost-Benefit & Execution Analysis
- Key Complexities & Horizon Scanning
- Emerging Market & Non-Deliverable Forward (NDF) Hedging
- Crypto-Fiat Crosses & Digital Asset Hedging
- Family Office & Insurance-Specific Considerations
- currency portfolios as a strategic asset
- New products, venues, and strategies within FX Risk Management
Who should attend
From commercial and investment banks, hedge funds, quantitative trading firms, asset management companies, insurance firms, payment companies and large family offices:
- Senior Treasury Professionals
- Chief Risk Officers (CROs) & Risk Managers
- Portfolio Managers
- Quantitative Analysts (Quants)
- Structuring Desk Heads
- Asset Liability Management (ALM) Specialists, and
- Investment Strategists
- Payment Professionals
Advanced FX Hedging Strategies and FX Integration in ERM - 1 Day Course
Background & Regulatory Landscape
- The evolving FX Risk Operating Model from transaction exposures to holistic balance sheet and strategic risk
- Regulatory Frameworks & Accounting Standards
- IFRS 9 / ASC 815 hedge accounting complexities
- Basel III/IV implications for banking book vs. trading book FX
- EMIR, Dodd-Frank & margining requirements for derivatives
- Case Study: Implementing a hedge accounting framework for a multi-currency bond issuance
Advanced Hedging Instruments & Structures
- From Vanilla Hedging to Structured forwards (participating, forward extra, accumulators), seagulls, cylinders
- Optionality Strategies:
- Cost reduction strategies with barrier options (KO, KI, DNT)
- Dynamic hedging with variance swaps and volatility derivatives
- Corridor forwards and layered option programs
- Worked Example: Pricing and risk metrics for exotic structures
- Practical Exercise: Selecting structures for specific corporate treasury/portfolio hedging needs
FX Risk in Integrated Risk Management
- Portfolio & Asset-Liability Management (ALM) Perspective:
- Currency overlay programs for asset managers and insurers
- Hedging embedded FX in multi-currency portfolios (equities, fixed income, alternatives)
- Managing FX in illiquid assets (private equity, real estate, infrastructure)
- Risk Budgeting & Performance Attribution:
- FX alpha vs. hedging cost
- Tracking error and VaR/CVaR constraints
- Scenario analysis & stress testing for tail events (e.g., CHF unpeg, GBP flash crash)
Quantitative Approaches & Hedge Optimisation
- Hedge Ratio Optimisation:
- Minimum variance, mean-CVaR, and utility-based approaches
- Regression techniques and parameter instability challenges
- Machine Learning Applications:
- Predicting hedge effectiveness and basis risk
- Natural language processing for geopolitical risk assessment
- Cost-Benefit & Execution Analysis:
- Liquidity considerations and market impact
- Centralized vs. decentralized hedging execution
- TCA (Transaction Cost Analysis) for FX derivatives
Key Complexities & Horizon Scanning
- Emerging Market & Non-Deliverable Forward (NDF) Hedging: Liquidity, documentation, and roll risk
- Crypto-Fiat Crosses & Digital Asset Hedging
- Family Office & Insurance-Specific Considerations: Multi-generational hedging, currency portfolios as a strategic asset
- New products, venues, and strategies within FX Risk Management
Trainer
The Training Director is a successful industry expert and program director with over 20 years of experience leading successful multi-disciplinary initiatives to achieve regulatory compliance and strengthen performance for asset managers, wealth managers, hedge funds, insurers, banks and brokerages. Subbu specialises in Asset Management Target Operating Model and Governance; sophisticated portfolio management and Structuring strategies, Risk Management and Yield enhancement within the Investment Management product lifecycle.
He has led numerous strategic initiatives with firms such as Ruffer, Barclays, HSBC, Deutsche Bank, M&G and T Rowe Price.
He is a member of industry associations such as the Investment Association, Irish Funds, ALFI and AIMA. He is also a member and advisor of Industry association committees for regulatory consultations with bodies such as ESMA, FCA, PRA/Bank of England and SEC.
FAQ
We offer banking and finance courses as well as soft skills and business management training. You can either attend an open public course in London or Dubai or arrange customised in-house training to be delivered in any of your offices worldwide.
Most of our public courses are run over 2 full days. Some programmes are offered as a 1 or 3 day training.
In-house training is tailored to client’s requirements and can be organised over 1 day, 2-3 weeks or longer.
Public courses are organised mainly in London and Dubai. Occasionally we organise courses in other centres like Paris or New York. Check our public course calendar for the current list of programmes. We use a range of training venues, all in the centre of the cities and with excellent transport links to the airports and train stations.
In London we use venues in the centre (near Oxford Circus station or in Mayfair) or in the City (near Liverpool Street or Moorgate stations).
In Dubai our courses are organised in one of 4-5* hotels in the Deira district. Once you register we will send you detailed information together with accommodation options if required.
Our in-house courses can be delivered anywhere in the world. We work with over 25 trainers worldwide. Contact us do discuss your requirements. Check our list of available programmes.
Our courses are run in central locations from 9 a.m until 5-5.30 p.m. There are 2 coffee breaks and a lunch break. Lunch is always provided in the venue.
Dress code is smart casual.
All our programmes are taught by senior specialists who have spent many years in their respective sectors, working as senior managers and head of departments, so they understand very well the market and the challenges you are facing.
The experience of our trainers allows us to create very practical programmes, focused on current market trends and challenges. You can be sure that you will gain the knowledge which can be instantly applied in your workplace after the course. You will be analysing real life case studies, take part in group exercises and discussions as well as role plays, whenever applicable.
We want our courses to be as practical and interactive as possible so we limit the number of participants in order to optimise your time with the trainer and allow you to ask questions which are important for you.
In order to understand your requirements and expectations, we will send you a pre-course questionnaire.
You will also receive post-course support so if you have any questions after you left the training, you are welcome to contact us.
There are 2 easy ways to register:
- Go to the course of your choice and click Register Now button to fill the registration page
- Email us to enquiry@eurekafinancial.com
After you register, we will send you registration confirmation and an invoice so you can arrange the payment. Please note that your place is not confirmed until we receive it.
If you register within Early Bird discount period, there’s limited time to arrange the payment in order to be eligible for the discount. You will find all the details on the invoice.
We don’t advise to make any travel and hotel arrangements until you receive full course confirmation from us.
We will send you venue and course details as soon as possible but most likely about 3-4 weeks prior to the course commencement.
You can pay by:
- Making a bank transfer
- Debit/credit card
- Cheque payable to Eureka Financial Ltd. - only within UK
Just mark preferred paying option on the registration form. Whichever form of payment you choose we will always send you an invoice.
If you pay by card, a 2.2% processing fee will be added. We will send you authorisation form so you can give us your card details.
Included in the price of a public course are:
- Course tutorial
- Take away course materials
- Course Certificate
- Lunch on the days of the training as well as drinks and snacks throughout the course
The price doesn’t include accommodation, flights, transfers and any additional costs outside of the training venue.
Yes, we always offer Early Bird discount, so the sooner you register the more savings you can make. We also offer group discounts and if you register for 2 or more programmes at the same time.
If you are a full time student or unemployed, we offer a 25% discount of the full price of the training. Student ID or unemployment status confirmation is required to claim this discount.
If you attend one of our courses you will be entitled to a special discount for a year after the last course you attend with us. Also, if you have attended and recommended us to a friend, both you and your friend will receive a special discount. You will receive more information about it after you attend the course.
See our Customer Loyalty Discounts page for more details.
All our courses based in the UK are subject to the VAT charge of 20%. This fee is irrespective of the country of residence of the delegates.
You can, however, claim the VAT back by contacting UK tax office - HMRC, and filling the relevant form, as long as you comply with the following rules:
For Delegates coming from the EU countries
If you represent a registered business in another EU country, you can use the Refund Scheme to reclaim VAT you pay in the UK as long as all of the following apply:
- You're not registered for VAT in the UK and don't have to, or can't be, registered here
- You don't have a place of business or a residence in the UK
- You don't make any supplies in the UK
You can find some more information here. In order to claim the VAT you have to fill Form 65.
For the Delegates from Non EU countries
If you represent a registered business in a non-EU country, you can use the Refund Scheme to reclaim VAT you pay in the UK as long as all of the following apply:
- You're not registered for VAT in the UK and don't have to, or can't be, registered here
- You don't have a place of business or a residence in the EU
- You can only use the Refund Scheme if your own country operates a similar scheme and makes it available to UK businesses. If your country has its own Refund Scheme but doesn't let UK businesses use it, you can't claim under the UK Refund Scheme.
- You don't make any supplies in the UK
If the following rules apply to you, please fill the 65A form and send it to HMRC.
Webinars
You can cancel your participation up to a month before the course and receive a refund minus 10% of the full course value. Between 2-4 weeks before the course you will be charged 50% cancellation fee and if you cancel less than 2 weeks before the course you can only offer your place to a colleague. Up to 2 weeks before the course you can reregister for another edition for 10% reregistration fee if there is another webinar offered or you can rebook for a course in London by paying the difference in price plus 10% reregistration fee.
Classroom Courses
If there is any official travel restriction or difficulty related to the COVID pandemic around the time of the course we will convert the training into a webinar or offer to attend the next classroom edition at no extra cost.
If you are unable to attend the course, you can either send a replacement at no extra charge or, up to 10 days before the training, you can transfer your booking to another edition within the next 6 months paying administrative fee of 20% of the full course price. For any cancellation requests received between 11 days and 4 weeks from the course we offer 50% refund or reregistration to another edition for 25% of the value of the booking. For any cancellation requests received more than 4 weeks before the course date we will offer a refund less an administration fee of 10% of the full course price.
Cancellations must be made in writing (letter or email) and reach our office four weeks prior to the course date. We regret that only limited refunds can be given after this period as per points above. Non-attendance without any notification will be charged at full rate. Your place on a course is not guaranteed until we receive the payment. All payments must be made in full before the course date.
All our trainers have been working for many years in their respective sectors before they begun to teach so they bring a wealth of practical experience to the classroom.
Most of them used to work for 15 or more years in the financial sector and corporate world, and were holding positions of Directors, VP and Senior Managers. Some of them have published books and have written articles for specialised magazines and newspapers including FT, The Independent, The Times etc. You can find detailed biography of each trainer on the page of the course you want to register for.
Yes, you will receive a Certificate of Attendance at the end of the course you attend.
If you have to apply for a Visa to attend a course in the UK, we will issue a letter to support your application. The letter will be issued only after the payment for the course has been made.
It is delegate’s responsibility to obtain a Visa and failure to do so will not make the participant exempt from the cancellation policy.
Anyone suspected of applying for a training course simply to gain a Visa letter will be reported to their embassy.
We will need the following information to issue an invitation letter:
- Full name as it appears on your passport
- Date of birth
- Passport number
- Passport issue date
- Passport expiry date
6 Oct 2026, Online / Virtual
Register by 01 Sep to save £200
Early bird price £895 + VAT
Regular price £1095 + VAT
5% discount for 2 & 10% for 3 people - if registered at the same time and for the same edition.
27 Nov 2026, Online / Virtual
Register by 01 Sep to save £200
Early bird price £895 + VAT
Regular price £1095 + VAT
5% discount for 2 & 10% for 3 people - if registered at the same time and for the same edition.
This topic can be arranged on in-house basis. If you have a group of 4 or more we can customise it and deliver in any location worldwide. Contact us to discuss your requirements
