Marex management urges proactive FX risk strategy as volatility rises

Hedging was positioned as a tool to protect margins and cash flow, not just limit downside moves.

The interview flagged risks in waiting for “perfect” market conditions, citing delayed action as a potential source of additional exposure.

Finance leaders were advised to reassess hidden exposures when entering new markets, with FX considered alongside rates, commodities, and supply chains.

Marex management warned businesses face a more complex FX risk backdrop, driven by shifting interest rates, geopolitical tensions, tariffs, supply-chain disruption, and currency volatility.

Mark Palmer urged a proactive, portfolio-style approach to FX risk management, framed by a defined risk appetite and stakeholder alignment.