Strategies & Capabilities

Currency Management The Exposure You Can’t Afford to Overlook

We understand the power of effective currency management to reduce risk and drive returns. Our rigorous, research-driven approach takes no shortcuts in unlocking the value of currency management.

Deeply Committed to Currency Management

At a time when many asset managers are pulling back from the asset class, we continue to expand our industry-leading capabilities in currency management.

US$141B

AUM across 11 base currencies. ¹

360+

Client accounts globally. ¹

30+ Yrs

Since launching one of the industry’s first dedicated currency management teams. ¹

Why Investors Choose Us

With one of the industry’s deepest and most experienced currency management teams, we are committed to providing leadership at the crossroads of global asset flows.

Broad Capabilities

Investment solutions across objectives (risk mitigation vs. return-seeking) and styles (passive vs. active)
Deep expertise across regions, including emerging markets

Objective Thinking

Breadth provides objectivity that specialists cannot offer
Focus on determining the optimal approach for each currency and phase of the economic cycle

Innovative Solutions

Access to real-time market data fuels research into new solutions
Work closely with clients to develop strategies, approaches and tools that are tailored to their objectives and regulatory requirements
Strategies that provide efficient exposure to emerging markets

Scale and Stability

Global Systematically Important Financial Institution (G-SIFI)
Robust infrastructure and risk controls
Early signatory of the FX Global Code

Efficient, Reliable Execution

253,000+ FX trades totaling US $1.6T in market value in 2022
15 banks in our panel of counterparties
24-hour trading capabilities

Source: State Street Global Advisors, as of March 31, 2023.

Our Currency Strategies

Across developed and emerging markets, we have the solutions clients need to manage currency risk and harness it as a tool for shaping portfolios to support their strategic objectives.

Investment Style	Primary Investment Goal
Investment Style	Reduced Risk	Increase Returns
Passive	Static Passive Hedging Treats all currencies identically Reduce exposure	Currency Factor Systematic currency style indices Long-run return
Active	Dynamic Strategic Hedging Variable hedge ratio Considers risk of each currency individually Risk-management focus	Multi-strategy, multi-horizon approach Maximize return

Return increase and risk reduction are targets of our offerings and are based on the estimates and assumptions made by State Street Global Advisors. There is no guaranteee that those estimates will be achieved.

Latest Insights

Global Currency Management Team

We have been providing currency management solutions since 1989, and today we have 25 currency professionals across four continents.

James Binny

Global Head Currency & Head of Investments SSGA Europe Limited

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Aaron R Hurd, FRM

Senior Portfolio Manager

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Matthew Nest, CFA

Head of Active Global Fixed Income

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Matthew J Steinaway, CFA

CIO, Global Fixed Income, Currency & Cash

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Footnotes

Disclosure

State Street Global Advisors World Wide Entities

Investing involves risk including the risk of loss of principal. Currency Risk is a form of risk that arises from the change in price of one currency against another. Whenever investors or companies have assets or business operations across national borders, they face currency risk if their positions are not hedged. Hedging involves taking offsetting positions intended to reduce the volatility of an asset. If the hedging position behaves differently than expected, the volatility of the strategy as a whole may increase and even exceed the volatility of the asset being hedged. There can be no assurance that the hedging strategies will be effective.

The information provided does not constitute investment advice and it should not be relied on as such. It should not be considered a solicitation to buy or an offer to sell a security. It does not take into account any investor's particular investment objectives, strategies, tax status or investment horizon. You should consult your tax and financial advisor. All information is from SSGA unless otherwise noted and has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. There is no representation or warranty as to the current accuracy, reliability or completeness of, nor liability for, decisions based on such information and it should not be relied on as such.

The information contained in this communication is not a research recommendation or ‘investment research’ and is classified as a ‘Marketing Communication’ in accordance with the Markets in Financial Instruments Directive (2014/65/EU) or applicable Swiss regulation. This means that this marketing communication (a) has not been prepared in accordance with legal requirements designed to promote the independence of investment research (b) is not subject to any prohibition on dealing ahead of the dissemination of investment research.

This communication is directed at professional clients (this includes eligible counterparties as defined by the appropriate EU regulator who are deemed both knowledgeable and experienced in matters relating to investments. The products and services to which this communication relates are only available to such persons and persons of any other description (including retail clients) should not rely on this communication.

This document provides summary information regarding the Strategy. This document should be read in conjunction with the Strategy's Disclosure Document, which is available from SSGA. The Strategy Disclosure Document contains important information about the Strategy, including a description of a number of risks.

The whole or any part of this work may not be reproduced, copied or transmitted or any of its contents disclosed to third parties without SSGA’s express written consent.