Advanced FX Hedging Knowledge, Structured Products and hands-on Case Study
This advanced course represents the second part of the “FX Management in Corporate Treasury”-series. While the first part covered the fundamentals, Modules 5 to 10 deep-dive into advanced FX strategies and specialized instruments, bridging the gap between basic execution and expert-level management.
What you’ll learn
- Understand how FX options are priced, including put–call parity and the Garman–Kohlhagen model..
- Identify the key determinants of option value (spot, strike, volatility, time, interest rates)..
- Interpret implied vs. historic volatility and know when each is relevant for risk management..
- Use the Greeks (Delta, Gamma, Vega, Theta, Rho) to assess option sensitivities and market risks..
- Analyse structured FX products such as participating forwards, risk reversals, and range structures..
- Interpret the volatility smile and understand why FX markets quote vol by Delta..
- Apply the principles of Front/Middle/Back Office and segregation of duties in an FX environment..
- Conduct safe and compliant telephone dealing, including documentation and controls..
- Implement an effective budget (plan) rate process, including governance and stakeholder alignment..
- Understand the Principles of Hedge Accounting and why it matters in FX Risk Management.
- Understand different hedging strategies which suit best for your companie’s needs.
- Translate risk appetite into hedge ratios, guardrails, and stop-loss frameworks..
- Learn the top 5 recommendations from an FX expert’s 20+ years experience.
- Understand how FX tools fit to your treasury landscape.
Course Content
- Module 5 – FX Options Advanced –> 9 lectures • 1hr 12min.
- Module 6 – Structured Products –> 10 lectures • 1hr 35min.
- Module 7 – FX Operating Framework –> 15 lectures • 2hr 13min.
- Module 8 – Hedging Strategies & Case Study –> 17 lectures • 2hr 17min.
- Module 9 – Personal Top 5 Recommendations –> 6 lectures • 41min.
- Module 10 – Course Wrap-Up –> 4 lectures • 20min.
Requirements
This advanced course represents the second part of the “FX Management in Corporate Treasury“-series. While the first part covered the fundamentals, Modules 5 to 10 deep-dive into advanced FX strategies and specialized instruments, bridging the gap between basic execution and expert-level management.
This course fits seamlessly with the first part “FX Management in Corporate Treasury – Part 1 – Fundamentals”.
- Starting with Module 5, participants transition from plain vanilla FX hedging into more advanced option-based thinking. The module explains how FX options are used in corporate treasury, how payoffs work, and how optionality fundamentally changes risk profiles compared to forwards. Greeks and Pricing Models are discusses in depth as well.
- Module 6 introduces structured FX products, with a strong focus on participating forwards, risk reversals and range-strike-forwards. Participants learn how these products are constructed, why they are often marketed as “zero-cost”, and which risks are transferred back to the corporate through embedded option positions.
- Module 7 explains how a robust FX operating framework is set up in corporate treasury. You will learn the roles and responsibilities of Front, Middle, and Back Office, the importance of segregation of duties, and best practices for execution, controls, budget rate setting, and telephone dealing. The focus is on governance, risk control, and operational excellence. A close look into Hedge Accounting finishs this module.
- Module 8 provides a structured overview of practical FX hedging strategies. Additionally, a comprehensive case study demonstrates how risk appetite, hedge ratios, budget rates, and loss limits are translated into a disciplined hedging program.
- Module 9 My Top 5 Recommendations from 20 Years of FX ManagementIn this module, I share my five most important personal principles from two decades of hands-on FX management. The module connects technical FX knowledge with real-world decision-making.
- Finally, Module 10, the final module summarizes the key learnings of the course and puts them into a broader perspective. You will also receive guidance on next steps, continuous learning, and applying the framework in your daily treasury work.
After completing this course, participants will be able to:
- Understand and explain advanced FX option and structured product mechanics
- Interpret volatility, skew and smile effects correctly
- Evaluate the true economic risk of “improved hedge rates”
- Assess hedge accounting implications of complex FX structures
- Build your own FX Framework
- Make informed, professional FX hedging decisions from a corporate treasury perspective
This course is ideal for corporate treasurers, finance managers, CFOs and advanced practitioners who want to move beyond basic FX hedging and gain confidence in managing complex FX risks in a structured, transparent and controlled way.