Banks, vendors mine AI for corporate FX hedging
New machine learning algos can help corporate clients adjust hedging ratios, but tech’s effectiveness is limited by data quality, experts caution
The inexorable advance of artificial intelligence across banking’s backyard continues. Now, banks and technology vendors are developing machine learning tools to help support non-financial corporates with their foreign exchange hedging decisions.
For corporate treasurers, most of their FX hedging is carried out using manual processes. Many companies do not have the same advanced technological processes, data scientists and trading strategies that the more sophisticated participants in the FX
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