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What are my International Money Transfer Options?

09-04-2020 | treasuryXL | XE |

When you break it down, all money transfers follow the same core process:

  1. You select your currencies and get your rate,
  2. You provide your information and that of the recipient,
  3. We facilitate the transfer.

However, they aren’t all created equal! Where they differ is when you pay and when the transfer goes out. Depending on why you’re making your transfer and whether you have any time constraints, one type of transfer could suit you better than others.

We’ll start by discussing these three transfer methods:

  1. Spot transfers
  2. Forwards
  3. Market orders

Let’s take a closer look at what these transfers are and when they’d be best utilized.

Spot Transfers

If you just want to make a quick, “on the spot” transfer, you can immediately do so through our spot transfers. You can buy now, pay now, and get your transfer taken care of ASAP. There’s nothing that will affect the transfer process.

When would I use this? Any time you need to make a quick, one-off payment or transfer, and you know you’re ready to send. If your transfer needs are more complex, one of the next two options might be better for you.

Forward Contracts

You’ve got a dilemma. You’ve checked the currency conversion charts, and the rate is in your favor for your transfer—but you’re not quite ready to take the plunge and initiate the transfer. Maybe you’re still building up your savings, maybe you’re still finalizing the details of your upcoming purchase, or maybe you’re concerned about potential fluctuations in your chosen currency.

A forward contract will let you lock in your rate now, even if you aren’t planning on making your purchase just yet. You’d just pay a small deposit now, and the bulk of your payment at a future date.

When would I use this? If you’ve got a big purchase to make, like property or another investment, and you want to make sure you’ll have a great rate.

Market Orders

Let’s flip the last scenario around. You know you want to make a transfer, but you’re not happy with the current exchange rate. Instead of putting your transfer on hold completely, set up your future transfer now with a market order. Specify your currency amounts and desired rate, and the transfer will initiate once that rate is live.

When would I use this? Got time to spare for your transfer? Making a transfer to or from a more volatile currency? Market orders are ideal for those of you seeking the best possible rate, while time is less of a factor.

What about those other transfer types?

If you’ve been researching money transfer, you might be thinking, “Those aren’t the only types of transfer. Why aren’t you mentioning the other types?”

The three transfers described above are all forms of international money transfer that you can easily make on our platform. These other transfers will move your money to another person, but they differ in whether they’re international or domestic, whether there’s any restrictions on the amount you can transfer, and whether they come with an additional fee.

For example, you may have heard about the following:

  • Bank transfer – This refers to any money transfer that is done through a bank. Banks are trustworthy and reliable, but because they utilize the SWIFT network, bank transfers come with numerous additional fees.
  • Wire transfer – One of the oldest and most widely known varieties of domestic and international money transfer, wire transfer allows you to electronically send funds to another person through banks or other wire transfer providers. Wire transfers go through networks such as the SWIFT network, so while they are speedy and secure, they often come with added fees.
  • Money order – This is a paper document that’s used for making payments, not unlike a check. The main difference is that you specify who will receive the money order and how much they will receive, and both you and the recipient must sign for the order. Money orders are a secure way to make domestic and international payments, but they often have a limit of $1000 per order.
  • Cashier’s check – Like money orders, cashier’s checks are a slightly more secure alternative to regular checks. Unlike money orders, you can make larger payments with cashier’s checks, and many people use them to make a down payment, put down a deposit, or purchase high-cost items like cars or boats. Cashier’s checks function by taking the check amount from the paying individual’s account and depositing it into the bank’s account, and then creating a check that draws directly from the bank or institution. The recipient is guaranteed to receive their money, and transactions can settle quickly.
  • ACH payment – Also known as an ACH transfer, this is a direct deposit transfer that is processed within the United States through the Automated Clearing House (ACH) network. While they are quick and easy to manage, they are largely domestic, and would not be the best option for anyone with international transfer needs.
  • Balance transfer – This one’s a bit of a trick—balance transfers aren’t really money transfers. In a balance transfer, you’re transferring outstanding debt on one credit card to a new or different card, typically one with a lower interest rate or other benefits.

How do these other methods compare to Xe money transfer?

Now that you know a bit more about the various types of money transfer, you might be considering what would best suit your money transfer needs.

Here are some of the most important considerations when making a transfer:

  • Speed. Bank, wire, and other transfer types could be delayed by limited hours or holidays. Most online money transfers are completed within the day, and can be initiated 24/7/365.
  • Fees. Banks and other providers will often charge additional fees on top of the initial transfer fee. These fees can add up! When you make an online money transfer, you can trust that you won’t encounter any surprise fees after confirming your transfer.
  • Location & Currency. Not all of the methods listed above facilitate international transfers, or they may not transfer to your country or currency of choice. We conduct transfers to 170 countries in every major world currency.
  • Rates. Not every institution calculates their rates the same way. Our rates come from the live markets and are accurate to the minute, while other institutions may use rates more in their favor than yours.

Now that you know a little bit more about your options, you can choose the type of transfer that best fits you and your needs.

Get in touch with XE.com

About XE.com

XE can help safeguard your profit margins and improve cashflow through quantifying the FX risk you face and implementing unique strategies to mitigate it. XE Business Solutions provides a comprehensive range of currency services and products to help businesses access competitive rates with greater control.

Deciding when to make an international payment and at what rate can be critical. XE Business Solutions work with businesses to protect bottom-line from exchange rate fluctuations, while the currency experts and risk management specialists act as eyes and ears in the market to protect your profits from the world’s volatile currency markets.

Your company money is safe with XE, their NASDAQ listed parent company, Euronet Worldwide Inc., has a multibillion-dollar market capitalization, and an investment grade credit rating. With offices in the UK, Canada, Europe, APAC and North America they have a truly global coverage.

Are you curious to know more about XE?
Maurits Houthoff, senior business development manager at XE.com, is always in for a cup of coffee, mail or call to provide you detailed information.

 

 

Visit XE.com

Visit XE partner page

 

 

 

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How to Recognize and Avoid Online Fraud Attempts

02-04-2020 | treasuryXL | XE |

It’s safe to say that we all have a lot on our minds right now. Unfortunately, whenever there’s a situation that causes people to feel uneasy and panicked, there will be fraudsters and criminals who take advantage.

We have recently seen a surge in demand for our services, and in that surge there have also been vulnerable customers that have been manipulated by opportunists. In addition, the recent uptick in fully remote and online work has also opened doors for online scam and fraud attempts.

At XE, keeping our customers and their personal information safe is our greatest priority. We want to help you to protect yourself from fraud attempts. Take a few minutes to familiarize yourself with some of the most common online scams, and read through our tips to keep yourself and your loved ones safe from fraudulent activity.

Phishing emails

Last year, Microsoft reported that phishing attacks were the greatest online security threat by far, having increased by 250 percent since their previous report.

Usually coming by email, these attacks encourage you to click on a link or attachment and download malicious software, which attacks your device and hacks access to your files. You may also receive an email from someone posing as a trusted figure (such as your employer or a reputable company) and asking you to provide sensitive information.

How to handle these: Verify everything. Reach out to the sender or the company and confirm that this email did come from them. It takes just a few moments, but it can have a huge impact.

Banking and online account scams

Take extra caution when reading an email from a bank. Many scammers send emails or texts that appear to be sent from your bank, highlighting a problem with your account. Often, they will request a verification of your details to resolve the problem. Once they have your details…you can imagine the rest.

How to handle these: Call your bank directly to clarify the issue. Never submit your personal details to this email, or to any email. Most reputable providers will not ask you for sensitive information over email, so that should be an immediate red flag.

Online shopping scams

Online shopping was already on the rise, and now that people are taking the majority of their shopping online, scams in this area have become more prevalent. Scams include selling faulty products, attempting to sell a product to gain bank details, and promising goods at a low price (only for those goods to never arrive and the site to close down after taking your money).

How to handle these: Use your head. If it’s a site or store that you’ve never heard of, research the company and see if you can find verified reviews from other customers. Ask yourself: “Does this seem too good to be true?” If it does, then proceed with caution.

Lottery, competition and inheritance schemes

Say you receive emails stating that you have won monetary prizes in competitions you did not enter, or messages from people overseas claiming that you have inherited money. These are just attempts to obtain your personal details.

How to handle these: Ask yourself, “Did I enter a competition? Do I know these people?” As much as we’d like to believe the fairy tales, winning or inheriting money completely out of the blue is not likely to happen. Once again: if it sounds too good to be true, it probably is.

Charity scams

Scams that take advantage of good-natured individuals often make a special appearance around the holiday season, but these could be active at any time of the year. Scammers will pretend to work for a charitable cause and may even exploit news of a current crisis. Scams surrounding COVID-19 are already in circulation, and seek to prey on people’s fears.

How to handle these: Do your research. If you plan to make a donation, make sure you know who you’re donating to and what your donation will be used for. If possible, make donations only through reputable organizations’ secure sites.

How can you avoid future scams?

When it comes to avoiding online scams, there are some key precautions that everyone should take. Pass these along to your friends, family, and clients, and take a critical eye in your own online habits.

  1. Read every email carefully. Emails are the most common scam vehicle. One way to check whether the message is from a reputable source is by checking the URL before you click. Extra characters and misspellings could both point to a suspicious link. If you’re still not sure, treat it as you would any other scam email. If it’s a sender who claims to know you, check with them before sending money or information.
  2. Never agree to send money to anyone you have only met online. Sending money online is not something you should take chances on. Don’t send anyone money unless you know them personally and are certain that they are legitimate.
  3. Never make a financial decision based on a phone call you receive from a person posing as a relative of someone in prison. This is a common scam that relies on you panicking and rushing to send money as quickly as possible. Take a second to consider the situation. Odds are, it won’t make sense once you think about it. If you’re still unsure, verify the situation with another relative or friend.
  4. Never share login credentials with anyone online. No matter what they promise to do for you in return. No reputable organization will ask you for this information.
  5. Be wary of unsolicited contact. If you don’t know the person or organization who has just contacted you, be cautious while you verify who they are. Don’t respond or provide them with anything until you know they’re legitimate.
  6. Update your devices. If you haven’t been doing this regularly, now is definitely the time to ensure that all of your devices are updated with the latest security measures.

We hope this information helps you and your loved ones to stay safe online. If you need anything, our team is here to help.

Neville Lacey

Global Risk and Compliance Director at XE

Get in touch with XE.com

About XE.com

XE can help safeguard your profit margins and improve cashflow through quantifying the FX risk you face and implementing unique strategies to mitigate it. XE Business Solutions provides a comprehensive range of currency services and products to help businesses access competitive rates with greater control.

Deciding when to make an international payment and at what rate can be critical. XE Business Solutions work with businesses to protect bottom-line from exchange rate fluctuations, while the currency experts and risk management specialists act as eyes and ears in the market to protect your profits from the world’s volatile currency markets.

Your company money is safe with XE, their NASDAQ listed parent company, Euronet Worldwide Inc., has a multibillion-dollar market capitalization, and an investment grade credit rating. With offices in the UK, Canada, Europe, APAC and North America they have a truly global coverage.

Are you curious to know more about XE?
Maurits Houthoff, senior business development manager at XE.com, is always in for a cup of coffee, mail or call to provide you detailed information.

 

 

Visit XE.com

Visit XE partner page

 

 

 

How to build your emergency fund

26-03-2020 | treasuryXL | XE |

Emergency situations often strike with very little warning, leaving you very without much time to adapt or plan. Over this past week, people across the world have made major adjustments to their lives in order to reduce the spread of the COVID-19 coronavirus. From organizations shifting to remote work to government-mandated lockdowns, the world this week is a far cry from what many of us thought to be the norm just a month ago.

Money is one of the greatest concerns for individuals during this uncertain time (along with health). A recent poll found that in the United States alone, 18 percent of people have lost jobs or hours. As more and more governments continue to issue orders to shelter at home, lockdown, or quarantine, this figure will only rise in the coming weeks.

Today, it’s the coronavirus. In the future, there’s always the possibility of a natural disaster or other large-scale emergency forcing you to readjust your habits, spending, and way of life. But for this current situation, here’s some of our advice for budgeting and preparing.

Cash or card?

This has been a common question among people concerned about the spread of coronavirus. Some think that it’s good to have a stash of emergency cash. It prevents you from having to worry about a power outage or business shutdown affecting your bank access, and paying in cash means you won’t be handling your card after it’s been in strangers’ hands or touching the same card reader that everyone’s been touching.

On the other hand, some have raised questions about the possibility of spreading COVID-19 through the exchange of cash, particularly if they’re exchanging bills at busy establishments. However, Emily Martin, associate professor of epidemiology from the University of Michigan School of Public Health, stated to the Wall Street Journal that she “wouldn’t expect coronavirus to travel far and wide on money.”

So, what’s the answer? It doesn’t hurt to have a few days’ worth of emergency cash on your person or stashed somewhere safe. However, if going to the ATM or bank would put you or others at risk, don’t make it a priority.

Anything to avoid?

You mean, besides other people?

In times like these, the first instinct is to grab everything, just in case. But this isn’t the best approach. We recommend avoiding the following:

  • Panicking. We know, it sounds ridiculous to tell you to stay calm in a pandemic. But panicking can lead to impulsive, irrational, and irresponsible financial decisions. Take a deep breath and ask yourself, “What do I need to make it through the day? The week? The month?”
  • Buying more than you (and your household) need. As we’ve seen, grocery stores, pharmacies, and other essential establishments will remain open. Take what you need, take a little extra if supplies allow, but don’t hoard. Does one household really need 500 rolls of toilet paper?
  • Bottled water. If (and only if) your tap water isn’t safe to drink, then you should purchase bottled water. Otherwise, you’ll be fine with the faucet.
  • Frivolous purchases. Think of this as an opportunity to look at your spending and subtract from your budget. For example, many of us won’t be going to concerts, festivals, or bars anytime soon. And you probably won’t need to buy as many clothes if you’re spending all of your time at home. If you can, take this money and put it in your savings, or put it toward other, more pressing expenses.

What if I don’t have an emergency fund?

You’re not alone. Though common advice is to have 3 to 6 months’ worth of emergency money in savings, less than one-quarter of people actually have that. If you’re not happy with the state of your emergency savings, get started now. If you are still working and receiving an income, try to adjust your budget to allocate some or more to your savings each month.

Under normal circumstances, here’s what we’d recommend:

  1. Look at your current budget. Figure out how much you’re making, and calculate all of your normal expenses such as rent, bills, and how much you tend to spend on fun non-essentials.
  2. Calculate what you can save. If you have quite a bit of money left over after expenses at the end of each month, you can set your own goal for how much you’d like to shift to savings. If your budget is limited, calculate how much you could feasibly contribute to a savings account each month.
  3. Put your money into a separate account. If your employer pays through direct deposit, set up an automatic deposit to your emergency savings account. Otherwise, deposit it yourself, and hold yourself accountable. You can withdraw if you need to, but don’t skimp on your savings.
  4. Regularly assess your savings plan. Your saving plan shouldn’t stay the same forever. Every so often, take some time to review. You should reassess your budget and plans any time your financial situation changes, as well as a regular review at least once per year.

However, we recognize that now is not a normal circumstance! In our current situation, here’s what you can do to get your emergency fund started ASAP:

  • See what expenses you can cut. Normally, experts recommend canceling Netflix or other streaming services, but we understand if that’s not doable right now! Instead, take a look at reducing gym memberships or shopping expenses, and take a look at your fixed costs if you need to.
  • Sell a few things. If you have some nice pieces in the back of your closet that you rarely wear, or a few video games that you don’t play anymore, selling those online could help you get a little extra money.
  • Can you find additional income? We understand that this is a difficult time to find employment, even more so than usual. However, if you are really hurting from a lack of income right now, look into essential businesses that need more workers or look for remote work. That said, don’t forget to keep your health and safety a priority.

Ultimately? Anything is better than nothing. Don’t think that you need to have an elaborate plan or a large nest egg for your emergency fund. Every fund starts somewhere, and the sooner you start, the sooner yours can start growing.

If you already have an emergency fund…

…and you don’t need to dip into it just yet, take advantage of this time to continue to build yours. If you’ve been able to cut your expenses during those long days at home, take what you would have spent on non-essentials and add it to your rainy day fund. This situation has offered a lot of us a very close look at what can happen to our lives and finances. If you’re managing to get by now, let’s make sure that you’ll still be fine next time.

If you do need to use your emergency fund? Don’t make yourself feel guilty. This is why you created the fund, after all. Take a deep breath, figure out what you’ll need, and let your emergency fund help you through this.

It’s a tough time right now, and many people feel like there’s no end in sight. But this current situation isn’t going to last forever. We can’t control the world’s future, but we can plan ahead for ourselves (along with a bonus backup plan) to help ourselves face future obstacles.

This is an unprecedented and uncertain time for all of us. We understand the impulse to panic, to overspend, and to worry that we may not have enough to stay safe or keep our loved ones safe. But for most of us, all we can do is prepare ourselves and (safely) support others in any way possible.

Good luck!

Get in touch with XE.com

About XE.com

XE can help safeguard your profit margins and improve cashflow through quantifying the FX risk you face and implementing unique strategies to mitigate it. XE Business Solutions provides a comprehensive range of currency services and products to help businesses access competitive rates with greater control.

Deciding when to make an international payment and at what rate can be critical. XE Business Solutions work with businesses to protect bottom-line from exchange rate fluctuations, while the currency experts and risk management specialists act as eyes and ears in the market to protect your profits from the world’s volatile currency markets.

Your company money is safe with XE, their NASDAQ listed parent company, Euronet Worldwide Inc., has a multibillion-dollar market capitalization, and an investment grade credit rating. With offices in the UK, Canada, Europe, APAC and North America they have a truly global coverage.

Are you curious to know more about XE?
Maurits Houthoff, senior business development manager at XE.com, is always in for a cup of coffee, mail or call to provide you detailed information.

 

 

Visit XE.com

Visit XE partner page

 

 

 

Webinar and Q&A: Protect your bottom line from further impacts

| 24-03-2020 | XE.com

COVID-19 Webinar and Q&A on Wednesday March 25, 2020 at 5.00 pm – 5.30 pm CET

As the markets react to the global pandemic, the XE teams have been inundated with calls from concerned businesses who are looking for support during this volatility.

Throughout these turbulent times, our partner XE wish to share insights into how businesses with any exposure to international currencies can look to protect their bottom line from further impacts.

Register Now and and submit your questions, and the XE experts will look to answer the common challenges during the live session. XE may not have all of the answers, but they can look to provide some support to issues regarding currency exposure.

Date, time and registration

Date: March 25th, 2020

Start time: 5.00 pm – 5.30 pm CET

Register here

 

Do you a question that you’d like one of the XE Experts to answer during the session? Please provide details and XE will endeavour to respond during the session. You can submit your question at the registration page.

 

 

 

XE shares 5 Best Practices for Working Remotely

19-03-2020 | treasuryXL | XE |

Within the past few years, remote working has seen a significant rise in workplaces around the world. Some workplaces have shifted to fully remote operations, while others offer remote work as an optional perk for employees with long commutes. Since 2005, remote work has grown by 140 percent, and many employees identify remote work opportunities as a major perk when considering whether to work for a company.

More recently, within the past few weeks in fact, remote work has gone from a modern workplace perk to a necessity for businesses concerned about protecting their customers and employees from the spread of COVID-19 (coronavirus). For the office workers who are now carrying out their duties from home and the managers who are now virtually leading spread-out, remote teams, this presents a difficult new challenge.

To remain safe and healthy during this uncertain situation, XE wanted to take this time to share some of their advice for those of you who’ve suddenly been thrust into working (and managing) from home.

1. Keep a structure.

It’s easy to stick to a schedule in an office. Even if you don’t have set hours, there’s usually at least a clear window for when it’s time to work and when you’re off duty. When you’re working remotely, it can be hard to maintain the same level of organization.

  • Set work hours. If working hours haven’t already been established by your employer, establish set working hours. Treat these hours like you would any other hours at work. You wouldn’t stop working in the middle of the day to spend a couple of hours reading or gaming, right? And this goes both ways—in addition to establishing when you’re on the clock, make sure to give yourself the same hours off that you would normally have.
  • Establish your workspace. Even if you don’t have your own personal office, you can take over your desk or clear out a spot at your table and dub it the “work zone”. Do you normally like to spread out across your desk in the office? Find a way to do the same at home.
  • Don’t get distracted by household chores.It’s one thing to take 30 seconds to move the laundry from the washer to the dryer, or to check on the pot roast in your slow cooker. It’s another to vacuum the living room or make a quick pharmacy run during “work” hours. Make sure to focus on your work. It can be difficult if you have family members home with you, but find a way to communicate that you’re at work and not to be disturbed—whether it’s a sign on the door, a locked door, or a pair of noise-cancelling headphones.

2. Communicate everything.

Suddenly, it’s no longer as easy as leaning over to ask your teammate a question or stopping by another coworker’s office for a quick catch-up. Most conversations will happen in writing, and the lack of body language, facial expression, and intonation can easily breed misunderstanding.

You don’t need to micromanage, but you should aim to communicate more frequently and more specifically than usual. What would seem clear in a face-to-face session might not be as clear in a quick email, and you won’t have the benefit of overhearing pertinent conversations when you’re working remotely. Ask yourself: is there any ambiguity here? Could anything I’m saying possibly be misunderstood? Odds are, you’ll be able to say yes to both questions. Communicate as frequently as possible. There’s no such thing as too many details.

3. Take measures to prevent isolation.

In addition to putting a jump on your business communications, don’t forget to frequently reach out to your team on a personal level. In 2018, 21 percent of remote workers reported that they were concerned about feeling isolated, not just informationally but also socially.

We’re not encouraging you to put yourself or anyone else at risk. But along with frequently reaching out to other members of your team to communicate and collaborate, consider other ways to boost connectivity. Some managers have implemented “team lunch” conference calls for everyone on their team to virtually eat together and catch up. While this may not be feasible for your team to do every day or even every week, talk with your team and work out some ways to create socialization.

4. Be patient.

Let’s face it. Technology has revolutionized the modern workplace, but it can create its fair share of issues. Just this morning, the massive influx of remote workers in Europe caused Microsoft Teams’ chat tool to briefly go down.

These events can be frustrating, but they are inevitable when working from home, and even more so when you and your colleagues are not accustomed to regular remote work. Understand that technical difficulties are bound to happen—especially within these initial days—and that some people may take some time to adjust to the new status quo. It can be easy to get annoyed, but think instead of what you can do to help your teammates through the transition.

5. Take time to breathe.

New updates about coronavirus are constantly pouring in, and it can be easy to feel distracted and even overwhelmed by the news, particularly for those who have preexisting health problems or worry about the safety of their loved ones.

In most office settings, you’re free to step out for some air if you need a breather. Just because you’re not in the office doesn’t mean that you shouldn’t let yourself have breaks if you’re feeling overwhelmed. Build breaks into your schedule and communicate with your team and managers if things are growing difficult for you.

For managers and higher-level employees, make sure to check in with your teams and direct reports during this tumultuous time. This is an uncertain, overwhelming, and even scary time for a lot of people, and it can be hard to focus on everyday work in these circumstances. Be mindful of the situation and aim to work with your teams, not against them.

For many of us, this is one of the most frightening, challenging things we have experienced in our adult lives. Along with taking the right measures to stay hygienic and prevent the further spread of pathogens, the best thing we can do right now is work together to ensure that our customers and those relying on us have our full support, with whatever we can offer.

Source

Get in touch with XE.com

About XE.com

XE can help safeguard your profit margins and improve cashflow through quantifying the FX risk you face and implementing unique strategies to mitigate it. XE Business Solutions provides a comprehensive range of currency services and products to help businesses access competitive rates with greater control.

Deciding when to make an international payment and at what rate can be critical. XE Business Solutions work with businesses to protect bottom-line from exchange rate fluctuations, while the currency experts and risk management specialists act as eyes and ears in the market to protect your profits from the world’s volatile currency markets.

Your company money is safe with XE, their NASDAQ listed parent company, Euronet Worldwide Inc., has a multibillion-dollar market capitalization, and an investment grade credit rating. With offices in the UK, Canada, Europe, APAC and North America they have a truly global coverage.

Are you curious to know more about XE?
Maurits Houthoff, senior business development manager at XE.com, is always in for a cup of coffee, mail or call to provide you detailed information.

 

 

Visit XE.com

Visit XE partner page

 

 

 

How do the current events influence currencies around the world?

| 17-03-2020 | Erna Erkens | treasuryXL

In this blog, our Expert Erna Erkens, discusses the past events and their consequential effect on currencies. Erna Erkens is owner of Erna Erkens Valuta Advies, a consultancy firm specialized in currencies.

After 35 years of work experience in the financial markets at 2 different banks, Erna wanted to work as a self-employed person. For many companies, the topic of “currency risk” is on the agenda, but often does not reflect the effect that currency movements can have on organisational results. Erna noticed that there is a great need within SMEs for knowledge and support with regard to currency risks, among other things. With EEVA, Erna shares her knowledge in different ways to meet this need.

(Blog is in Dutch)

EUR/USD: 1.1105 of andersom 0.9005 (gisteren 1.1235 of andersom 0.8900).

EUR/USD: Gisteren geen cijfers uit de Eurozone, maar wel een ingelaste vergadering van de EU ministers van Financiën. Uit de VS was gisteren de NY Empire State index veel lager dan verwacht en vorige maand. Vandaag de Ecofin vergadering en de ZEW index uit Duitsland en de Eurozone. Verder nog de kosten van arbeid en de productie uit de bouw van de totale Eurozone. Uit de VS de detailhandelsverkopen, de industriële productie, het gebruik van de capaciteit, de zakelijke voorraden, de openstaande vacatures en tot slot de NAHB huizenmarkt index. Maar de ogen zullen toch vooral op de financiële markten gericht zijn deze dagen. Alles is in mineur behalve de USD. Dus EUR/USD moest toch weer een cent prijsgeven gisteren. Als de vlucht naar de USD aanblijft houden kunnen we wel weer wat verder naar beneden. Tot de paniek over is. Toch zal dit gelimiteerd zijn door de verkleining van het renteverschil tussen de EUR en de USD. Dus als er maar een beetje vertrouwen terug komt zal de EUR/USD flink stijgen. Maar nu lijkt de USD nog een flinke veilige haven. Toch is de EUR/USD een stuk hoger sinds de laagste koers van 1.0790 van een paar weken geleden.

  • GBP/USD: 1.2210 (gisteren 1.2345)
    GBP/USD: GBP/USD blijft maar dalen. Gisteren geen cijfers, maar vandaag de cijfers van de arbeidsmarkt. De cijfers blijven uit het VK eigenlijk vrij goed, maar ja, daar trekt de koers zich op dit moment niets van aan. Wel goed voor de export. Dit helpt de economie van het VK wel. Het VK heeft een andere strategie om de coronacrisis te pareren. Ze doen eigenlijk soort van bijna niks. 
  • EUR/GBP: 0.9095 of andersom 1.0995 (gisteren 0.9100 andersom 1.0989)
    EUR/GBP: Steeds meer een markt voor kopers van GBP. Vandaag cijfers van de arbeidsmarkt. Brexit is even op de achtergrond gekomen. Even iets anders aan de knikker. 
  • EUR/CNY: 7.8065 (gisteren 7.7995). USD/CNH 7.0125 (gisteren 7.0170), USD/CNY 7.0025: PBoC fixing: USD/CNY: 7.0094 (gisteren 7.0018).
    EUR/CNY: Eigenlijk weinig nieuws. De beurzen iets lager, maar niet veel. Corona besmettingen lopen nog steeds terug.

Olieprijs

WTI Crude Oil: USD 29.58 (olie voor de VS, gisteren USD 31.12) Brent Oil: USD 30.08 (olie voor Europa, gisteren USD 33.66). Olie uit Shanghai Yuan 241.30 = USD 34.47 (contract is van april 2020). Het verschil tussen de Brent en de WTI Crude Oil is bijna helemaal verdwenen. Dat is best heel bijzonder. En dat is ook een teken voor mij dat de beweging bijna voorbij is. Maar de USD 50 komt niet zo snel terug. Pessimisten zien het naar onder de USD 20 gaan. Zou kunnen, maar ik ben minder pessimistisch. Maar de komende maanden lijkt Saudi Arabië de oliekraan vol open te draaien. Althans dat zeggen ze nu,maar dat kan zomaar weer veranderen. Als dat blijft zal er een gematigde stijging komen denk ik. Maar als er toch weer gesprekken met Rusland en overeenstemming zal zijn dan kan dit onmiddellijk weer helemaal omslaan. Ik acht dat ook niet onmogelijk. De opslag voor olie is nu schreeuwend duur. Ik denk dat we de komende tijd nog te maken houden met lage olieprijzen,maar dat dit wel op een iets hoger niveau zal zijn. Ik heb het al vaker gezegd, maar ik schat de ruimte om verder te dalen vrij beperkt in. Standard Chartered verlaagd zijn gemiddelde verwachting van de olieprijs voor de Brent van met -USD 29 maar USD 35 voor 2020.Ik ga mijn lange voorspelling ook naar beneden aanpassen volgende week. Maar niet zover denk ik. Het is alweer dalende.

Barrel / vat olie = 158.99 liter
Gallon =  3.7854 liter

Goud

USD 1483.0 (gisteren USD 1514.00). De goudprijs is in USD per troy ounce (=31.1 gram). Goud heeft zijn glans als veilige haven op dit moment helemaal verloren. Iedereen gaat voor cash. Dus is de USD,Japanse Yen, Zwitserse Franc in trek. En zelfs de Euro lijkt wat veilige haven glans te krijgen. De bodem van het goud lijkt overigens wel ongeveer bereikt. Cash is King!!! Maar dit zal snel weer terugkomen. Als de echte paniek wegebt of als je aan de nieuwe situatie wennen. Mooi moment om te kopen zou ik zeggen. Een analist sprak de woorden: De traditionele regels zijn op niet meer aan de orde en er is niets dat als een veilige haven kan worden geclassificeerd. Zelfs het goud niet. Dat komt snel weer terug is mijn gevoel.

Zilver

USD 12.35 (gisteren USD 13.10). De zilverprijs is in USD per troy ounce (=31.1 gram). Zilver is helemaal in de kaartenbak verdwenen. Ongelofelijk. Zilver op een laagterecord sinds 2009. Ongelofelijk. Wat voor het goud geldt is voor het zilver nog meer van kracht. Wat een koopje. iedereen komst echt wel weer bij zinnen. Dan zal het zilver weer snel stijgen, Maar dit is wel een enorme klap. die had ik niet eens een beetje aan zien komen. Tja.. Ik kan me een turbo of call optie goed voorstellen.

Beurzen gisteren en vanmorgen 

De Europese beurzen zijn gisteren gemiddeld -4.2% lager gesloten. De AEX is gisteren -3.10% lager gesloten op 419.83. De AEX is vanmorgen 3.6% hoger geopend op 431.65. Weer bijgekocht gisteren. De beurzen in de VS zijn gisteren gemiddeld -12.5% lager gesloten. (Dow Jones, Nasdaq en S&P). Azië: De Japanse Nikkei is vanmorgen 0.06% hoger gesloten. Chinese beurzen zijn vanmorgen gemiddeld -0.5% lager gesloten. De beurs in Hongkong is vanmorgen 0.85% hoger gesloten.

En verder…

Trump

In deze tijd komt echt leiderschap naar boven. Ik zie op de tijdlijn op twitter van Trump alleen maar geretweete berichten. Een soort doorsturen. En het eerste bericht op Twitter van hemzelf gaat over de journalisten van The Times. Tja… Verder terug op de tijdlijn roept hij Amerikanen op elkaar te steunen en geeft hij aan dat er genoeg voedsel is in de supermarkten voor iedereen. Hij is positief over de beurzen. We gaan na de crisis de beste beurzen ooit zien. Dat is makkelijk voorspellen na een daling van 30%. En tot slot nog goed nieuws. Hij zal de luchtvaart en bedrijfsleven steunen. Dat geeft rust op de beurzen zo lijkt het.

Centrale Banken

Gaat Rusland de rente verhogen om de Roebel te ondersteunen? Zou bijzonder zijn in deze tijden van renteverlagingen. Turkse Lira’s ook helemaal in de kaartenbak. Zweden gaat ook weer verruimen door de aankoop van obligaties.

Diversen

Als het er echt op aan komt, willen mensen toch nog steeds cash geld hebben en is de USD nog steeds in trek, samen met de Japanse Yen en de Zwitserse Franc en in mindere mate de EUR. Ik vind de woorden van de Europese Ministers wel groot, maar nu de daden nog. Het gaat allemaal traag. de FED is daar wel beter in. Dat heeft niet met Trump te maken overigens. De FED/overheid in de VS heeft totaal USD 2200 miljard beschikbaar gemaakt. Dit is voor 330 miljoen inwoners ongeveer. Dat is USD 6.666.67 per inwoner. Wat stellen wij daar als Europa tegenover? En met welk tempo?

10 jaars rente

Bund contract: 171.40 (contract per juni 2020, gisteren 172.49). Een verschil van 0.15 punten in de Bund is ongeveer 0.01% in de 10 jaars IRS (Bund omhoog = lange rente omlaag en vice versa). De Bund is de meest verhandelde langlopende Duitse obligatie en geldt als leidraad voor de obligatiemarkt en IRS prijzen. De IRS prijzen zijn de basis voor onze hypotheekrentes. De lange blijven ineens stijgen. De rente in de VS is met 1.5% verlaagd en de lange rente’s stijgen? Raaarrrrr

10 jaar Staats Duitsland -0.41% (gisteren -0.48%). Verschil met VS 1.24%.
10 jaar Staats Nederland -0.08% (gisteren -0.22%) Verschil met VS 0.91%.
2 jaar Staats VS 0.40% (gisteren 0.38%) Verschil met 10 jaars VS 0.47%.
3 maands rente VS 0.27% (gisteren 0.25%). Verschil met 10 jaars 0.60%.
10 jaar Staats VS 0.83% (gisteren 0.85%)
10 jaar Staats VK 0.51% (gisteren 0.41%) Verschil met VS 0.32%
10 jaar EUR IRS -0.05% (coupon 6 maanden en 30/360). Gisteren -0.08%

 

Source

 

 

Erna Erkens

Owner at Erna Erkens Valuta Advies (EEVA)

 

Currency Moves Caught You Off-Guard? You’re Not Alone.

12-03-2020 | treasuryXL | XE |

In the past few years, the financial markets had just about lulled participants to sleep. Equity markets delivered steady returns, interest rates remained low, and global currencies adhered to ranges and experienced relatively muted volatility. But that’s no longer the case.

You’re not alone if you were jolted awake by all the recent market volatility. Few anticipated the unprecedented market movements of the past three weeks.

There was no definitive announcement on February 14 that in three weeks’ time:

  • US equity markets would plunge, taking the DJIA, Nasdaq, and S&P 500 all down nearly -25% at their lows,
  • The US Federal Reserve would execute a surprise 50 bp rate cut,
  • US 10-year and 30-year bonds would fall to record low yields, and
  • Oil prices would plummet -26% in one day after OPEC and Russia fail to reach an oil production accord.

Yet all of these events happened, leaving corporate finance departments, treasury groups, CFOs, and business owners to contend with the consequences.

Since February 21, three of the most commonly used currencies by North American corporations (CAD, EUR and JPY) have seen moves of 3.6% to 9.5%. Here’s a summary of the moves:

  • CAD -3.6% weaker against USD, trading above 1.3700 for the first time in nearly two years. What triggered this? The unexpected oil price plunge which was exacerbated by continued equity sell-off. Just three weeks ago, the CAD was at 1.3205.
  • EUR +6.1% against USD, trading at 1.1495 on March 9 after being at 1.0785 just three weeks ago. Exporters can enjoy both the 6% rise in spot and also the forward point premium, which makes locking in forward rates attractive. Importers have been left wondering what to do. Many decision-makers are frozen, hoping the spot rate will reverse. The charts remind us that just one year ago, EUR was at 1.1500 and two years ago 1.2400.
  • JPY +9.5% against USD, made more stunning as the JPY had a surprise 2% weakening to 112.00 on Feb 21 following weak GDP data, to only to be reversed dramatically by coronavirus safe-haven flows. These took the JPY to below 102.00 on March 9 with incredible speed. To quantify this, the FX option market which use FX Option volatility as a key measure, has seen 1-month JPY ATM option volatility spike nearly 10% (unheard of!) to 21.5% after being 11.8% on Friday.

 

What’s the takeaway from all this?

As a business, it’s important to recognize that FX risk is real and has many potential impacts to your results. Regardless of whether your company benefited or was hurt by these market moves, FX risk can:

  • Raise import costs,
  • Reduce export sales margins,
  • Make your product less competitive, and
  • Possibly disrupt your 2020 business plans.

To illustrate the financial risk, here are example payables or receivables denominated in CAD, EUR, and JPY. There is the P/L impact looking at both 2/21 to 3/9 period, as well as considering if the currency trends continue:

If P/L swings of this magnitude cause you corporate nausea, please know you can take actions to mitigate them. FX volatility is a risk you can manage.

 

Source

 

Get in touch with XE.com

About XE.com

XE can help safeguard your profit margins and improve cashflow through quantifying the FX risk you face and implementing unique strategies to mitigate it. XE Business Solutions provides a comprehensive range of currency services and products to help businesses access competitive rates with greater control.

Deciding when to make an international payment and at what rate can be critical. XE Business Solutions work with businesses to protect bottom-line from exchange rate fluctuations, while the currency experts and risk management specialists act as eyes and ears in the market to protect your profits from the world’s volatile currency markets.

Your company money is safe with XE, their NASDAQ listed parent company, Euronet Worldwide Inc., has a multibillion-dollar market capitalization, and an investment grade credit rating. With offices in the UK, Canada, Europe, APAC and North America they have a truly global coverage.

Are you curious to know more about XE?
Maurits Houthoff, senior business development manager at XE.com, is always in for a cup of coffee, mail or call to provide you detailed information.

 

 

Visit XE.com

Visit XE partner page

 

 

 

What’s Money Transfer Really About?

05-03-2020 | treasuryXL | XE |

There are some situations where cash just won’t cut it. This is where we enter the wonderful world of money transfer. What is money transfer? It’s simple: it’s any form of payment that doesn’t involve cash.

Money transfer comes in two forms: payment and transfer. When you use you debit card at a store or your boss gives you your paycheck through direct deposit, you’re experiencing small-scale money transfer. When you’re sending money to another account or person, whether it’s across town or across the world, you’re also making a transfer.

When would you need an international money transfer? If you’re:

  • Purchasing property overseas
  • Sending tuition or spending money to a student studying abroad
  • Making an international move
  • Preparing for an exotic trip

…then money transfer is the way to go. Your money is in good company: experts estimate more than $2.5 quadrillion moves around the world each year.

Don’t let the technical details overwhelm you. Online money transfer is a quick, simple, and secure process for any of your currency exchange needs.

Is one money transfer method better than the others?

If you’ve been looking into making a transfer, there’s no doubt you’ve run across several different methods for your transfer. In addition to money transfer, you’ve probably also heard about:

  • Wire transfer
  • Money order
  • Balance exchange
  • Bank transfer

These options may seem more or less interchangeable—after all, at the end of the day, your money is moving where it needs to go, so does it really matter how it gets there?

Yes, it absolutely does. Choosing a money transfer over some of these other methods can influence:

  • The speed of your transfer
  • Your currency exchange rate
  • Whether or not you incur any additional fees during your transfer
  • The ease of the process
  • The amount you can transfer
  • Where you can transfer
  • The currencies you can exchange.

When you make a money transfer through Xe, you can trust that your money will reach its destination quickly, securely, and with no tacked-on fees.

Source

Get in touch with XE.com

About XE.com

XE can help safeguard your profit margins and improve cashflow through quantifying the FX risk you face and implementing unique strategies to mitigate it. XE Business Solutions provides a comprehensive range of currency services and products to help businesses access competitive rates with greater control.

Deciding when to make an international payment and at what rate can be critical. XE Business Solutions work with businesses to protect bottom-line from exchange rate fluctuations, while the currency experts and risk management specialists act as eyes and ears in the market to protect your profits from the world’s volatile currency markets.

Your company money is safe with XE, their NASDAQ listed parent company, Euronet Worldwide Inc., has a multibillion-dollar market capitalization, and an investment grade credit rating. With offices in the UK, Canada, Europe, APAC and North America they have a truly global coverage.

Are you curious to know more about XE?
Maurits Houthoff, senior business development manager at XE.com, is always in for a cup of coffee, mail or call to provide you detailed information.

 

 

Visit XE.com

Visit XE partner page