Managing Risk

If it’s not the movement of interest rates, it’s the value of the Aussie dollar. While we know that the last thing you want to be doing is speculating on interest rates, commodity prices and currency movements, it’s hard to avoid exposure to these fluctuations.

Whatever your exposure, there’s no way to eliminate the risk … but you can certainly manage it.

Interest Rate Risk Management
Because interest rates change in line with market conditions, adverse movements in rates can impact on your borrowing costs.

Flexi Bill Solutions for Borrowers are designed to help manage this risk with a range of alternatives around flexibility, certainty and opportunity.

Currency Risk Management
If you want to safeguard your bottom line from the negative impact of exchange rate fluctuations you might consider a currency risk management solution. Currency risk management is designed to deliver maximum return to your business at a minimum cost, using foreign exchange solutions. And because exchange rate volatility can provide opportunities for gains, implementing a risk management strategy can give you the best of both worlds, allowing you to strike a balance between risk and return.

Commodity Risk Management
Because commodity prices fluctuate it can be difficult to plan and budget with accuracy. Commodity Risk Management products can provide certainty around fluctuating prices, so it’s easier to predict and manage your profit margins. For the opportunity to benefit from favourable movements in commodity prices, a range of hedging options is also available.

Important information about advice
As this advice has been prepared without considering your objectives, financial situation or needs, you should, before acting on the advice, consider its appropriateness to your circumstances.

All products mentioned on this web page are issued by the Commonwealth Bank of Australia, view our Financial Services Guide (PDF 59kb). View Product Disclosure Statements (PDSs) for Agricultural Swaps (PDF 132kb), Agricultural Collar (PDF 146kb) and Agricultural Options (PDF 141kb) and consider them before making any decision about these products.