PARTNER CASE STUDY Foreign Exchange Risk Management
Opus Business Advisory Group Partners with Infinity International
Infinity International (IIFX) is pleased to partner with the team at Opus. Together, IIFX and Opus have identified situations where foreign exchange risk may be impacting the transactions that Opus carries out both as Business Advisors and in their Restructuring & Insolvency division where their Insolvency Practitioners act as Office Holders to insolvent companies.
About the Partnership
When businesses approach Opus for assistance, there may be ways for IIFX to re-assess currency risk issues and how these can be managed. This could allow the business to gain greater control of their future foreign currency denominated costs and therefore assist in the future profitability of that business. Similarly, some businesses might be required to place cash as collateral for the FX hedges, they have used to manage their currency exposures and there may be ways to release this cash for use elsewhere. Additionally, Office Holders may need a transactional service where FX conversion on an asset or a payment is required.
The Solution
Being able to assess these arrangements, and possibly free up cash would be of benefit to a business that needs to control its liquidity more efficiently and is essential for optimising cash flow management. From a restructuring and insolvency perspective, when dealing with a company’s or indeed individual’s assets that have overseas exposure there may be a foreign currency requirement. Carrying out these transactions whilst ensuring sensitivity on price can benefit creditors of an insolvent company or individual through a competitive market exchange rate which maximises the value of assets thereby improving the cash available to return to creditors. Also, because charges for FX requirements can be sizeable, Infinity can provide fair and transparent pricing to assist in the process. It is for this reason that Opus first started using our services, with Infinity providing pricing and efficient settlement for the currency requirement in question.
What Opus had to Say
Steve Parker of Opus said: “We decided to review our FX positions across the Group operations to ensure we were extracting maximum value from our transactions and to ensure we shared that knowledge with those we advise to deliver value. David at Infinity International took the time to understand how our business works and identify the currency risks and provide solutions as to how we could manage them.
We now have support on hand when we wish to transact or have any questions regarding our currency exposures, and this provides a high level of comfort when dealing with a product that can experience high levels of volatility.
Working with Infinity International FX allows us the confidence to know that we are achieving the best value for our clients and with our appointments as Office Holders which is of paramount importance. We now have a trusted FX provider who we can turn to, to help us to risk manage currency exposure efficiently and effectively.”
This case study is intended to provide you with information on the services Infinity International Limited (IIFX) offer and should not be interpreted as advice or as a solicitation to offer to buy or sell any currency or as a recommendation to trade.
IIFX is a company registered in England with registered number 06333730 and registered address at Building One, Chalfont Park, Gerrard’s Cross, Buckinghamshire, SL9 0BG, United Kingdom. IIFX is authorised by the Financial Conduct Authority under the Payment Service Regulations 2017 (FRN: 567835) for the provision of payment services. IIFX is authorised and regulated by the Financial Conduct Authority in the conduct of designated investment business (FRN: 671108).