We want to say a big thank you to the FX Managers’ Peer Group members for their active participation at the FXMPG meeting last week in San Francisco. We also want to acknowledge Standard Chartered for their sponsorship and valued contributions during the meeting sessions. This successful meeting marks the start of the second-half of the NeuGroup season, which continues this week with meetings of our second FX Managers’ Peer Group (sponsored by Chatham Financial), The Global Cash and Banking Group (sponsored by JP Morgan) and launch of our Assistant Treasurers’ Group of Thirty (sponsored by Citi).
Anne Friberg, who leads the FXMPG, reports that last week’s meeting covered further ground toward understanding the recently-released final language on the Dodd-Frank end-user exemption (EUE) for clearing derivatives, as well as implementation of the related ISDA Protocol. The group also discussed the impact on their hedging programs stemming from the increased cost with these new regulations. An update on the euro crisis and possible scenarios going forward were presented by Standard Chartered and complemented with a member presentation on the latest contingency planning and actions taken. Standard Chartered also provided an in-depth look at currency issues in emerging markets, focusing heavily on China and its CNY, CNH and NDF markets. The treasury systems discussion, finally, yielded some important updates, shedding new light on two vendors in particular.
It will be interesting to see how the FXMPG2 members react to similar topics later this week.