While the coronavirus pandemic has been a difficult time for everyone in terms of safeguarding our health and learning to live with restricted social freedoms, it has undoubtedly afforded us an opportunity to revolutionise the way we work.
This volatility hasn’t been helped by Brexit, with dramatic headlines triggering significant swings in exchange rates throughout the first quarter of 2019.
While things have calmed in recent weeks, with more Brexit uncertainty on the horizon and the threat of a global slowdown this period of calm is unlikely to last for long.
Given how much impact fluctuations in the currency market can have on their bottom line, it pays for businesses to be vigilant when it comes to exchange rates.
For example, if your business had a €35,000 invoice to pay in December 2018, it would have cost you £31,818. However, the pound surged at the start of 2019 and by March the same invoice would have cost you £29,914 – almost £2000 less.
Keeping track of exchange rates is crucial if you want to time your transfers effectively, and luckily we have a range of tools to help.
Rate alerts are ideal if you aren’t in a rush to make your currency transfer and are willing to hold out for a better exchange rate.
With a rate alert you simply tell us what rate you’d like to achieve and we’ll notify you the minute the market moves to that level by text and email.
If your rate alert is triggered you can either make your transfer at your desired rate or set a new rate alert.
With exchange rates in something of a stasis at the moment due to the Brexit impasse, this service could prove particularly useful. Set a rate alert now and you won’t need to worry about missing out if a breakthrough is made and the market suddenly shifts.
You can set rate alerts online or by giving us a call.
At Currencies Direct we also offer limit orders, where you target an exchange rate above the prevailing rate and we automatically transact on your behalf if the market reaches that level.
Currencies Direct Chief Treasury Analyst Phil McHugh adds; ‘Limit orders track the markets 24/7 and the system will buy the currency automatically for you if it hits your target level, even if it’s 2 o’clock in the morning.
Limit orders are a great tool to get the system to work for you in volatile markets and to target specific rates. In addition, you can also place a stop level to protect you should the market move against you.’
If you’d like to find out more about our rate alert service or limit orders give us a call on +44 (0) 20 7847 9400.
Currencies Direct is one of Europe's leading non-bank providers of currency exchange and international payment services. Since we were formed in 1996, we've maintained our focus on providing innovative foreign exchange and international currency transfer services to corporations of all sizes, online sellers and private individuals. We have also expanded our services to provide dynamic and pioneering "business to business" solutions to help companies, tier 2/3 banks and other non-bank financial institutions to process their international payments. Our headquarters are in the City of London (United Kingdom) and we have operations in continental Europe, Africa, Asia, and the United States. Currencies Direct is jointly owned by private equity firms Palamon Capital Partners and Corsair Capital.