KUALA LUMPUR (Sept 19): Businesses approach to currency risk management varies significantly worldwide, according to a new research from market analysts East & Partners (E&P) released today. In a statement, E&P said the research, derived from interviews with 13,000 importers and exporters across ten countries, highlights emerging foreign exchange (FX) risk management trends, broker performance and receptiveness to digital innovation. “Citing a lack of knowledge, experience, and product understanding, small businesses universally continue to undermanage their exposure to currency volatility, however that trend is slowly changing,” it said. It said the increased engagement, particularly among Lower Corporates which is approaching near universal uptake, has led to an increasingly fragmented business FX market as banks battle with newer providers for market and wallet share. Previous rounds of E&P’s research has found that businesses are increasingly chasing the best value available, or “multi-banking” their FX needs, consequently decreasing wallet share per FX provider.

Source: The Edge Markets September 18, 2016 23:48 UTC