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  FX Risk Policy, Limits & Compliance Monitoring
  Risk appetite framework, limit structure, breach monitoring, and escalation procedures
                       
  1. Risk Appetite Statement                    
  Maximum Portfolio VaR (10d, 95%): $15,000,000                  
  Maximum Single Currency VaR: $5,000,000                  
  Maximum Unhedged Exposure: $75,000,000                  
  Minimum Portfolio Hedge Ratio: 50%                  
  Maximum Hedge Tenor: 24 months                  
  Approved Instruments: Fwds, Options, NDFs, Swaps, Collars                  
  Review Frequency: Monthly (Board: Quarterly)                  
                       
                       
  2. Limit Monitoring Dashboard                    
  Limit Type Limit Value Current Value Utilization % Buffer Status Escalation Last Review      
  Portfolio VaR (10d, 95%) $15,000,000 $8,750,000 58.3% $6,250,000 COMPLIANT Routine 2/10/2026      
  Single CCY VaR - EUR/USD $5,000,000 $2,850,000 57.0% $2,150,000 COMPLIANT Routine 2/10/2026      
  Single CCY VaR - GBP/USD $5,000,000 $1,960,000 39.2% $3,040,000 COMPLIANT Routine 2/10/2026      
  Single CCY VaR - USD/JPY $5,000,000 $3,050,000 61.0% $1,950,000 COMPLIANT Routine 2/10/2026      
  Single CCY VaR - USD/BRL $5,000,000 $4,120,000 82.4% $880,000 WARNING Treasurer 2/10/2026      
  Max Unhedged Exposure $75,000,000 $50,050,000 66.7% $24,950,000 COMPLIANT Routine 2/10/2026      
  Min Hedge Ratio 50% 65.2% 76.7% 15.2% COMPLIANT Routine 2/10/2026      
  Counterparty Conc. - JP Morgan 25% 18.0% 72.0% 7.0% COMPLIANT Routine 2/10/2026      
  Counterparty Conc. - Citi 25% 12.0% 48.0% 13.0% COMPLIANT Routine 2/10/2026      
  Max Single Tenor 360 270 75.0% 90 COMPLIANT Routine 2/10/2026      
                       
                       
  3. Counterparty Credit Limits & Exposure    
  Counterparty Credit Rating Max Notional Limit Current Exposure Utilization ISDA/CSA Margin Threshold Status      
  JP Morgan A+ / Aa2 $50,000,000 $37,350,000 74.7% Yes $10,000,000 COMPLIANT      
  Citi A / A3 $40,000,000 $24,000,000 60.0% Yes $8,000,000 COMPLIANT      
  Deutsche Bank A- / A3 $35,000,000 $16,000,000 45.7% Yes $5,000,000 COMPLIANT      
  HSBC A+ / Aa3 $45,000,000 $8,400,000 18.7% Yes $10,000,000 COMPLIANT      
  Standard Chartered A / A1 $30,000,000 $21,000,000 70.0% Yes $7,000,000 COMPLIANT      
  UBS A+ / Aa2 $40,000,000 $4,900,000 12.3% Yes $8,000,000 COMPLIANT      
  Mizuho A / A1 $25,000,000 $14,400,000 57.6% Yes $5,000,000 COMPLIANT      
  RBC AA- / Aa2 $35,000,000 $9,600,000 27.4% Yes $7,000,000 COMPLIANT      
  TOTAL   $300,000,000 $135,650,000 45.2%            
                       
                       
  4. Escalation Procedures    
  Trigger Level Utilization Range Action Required Escalation To Response Time Documentation          
  Green (Normal) 0% - 75% Routine monitoring Treasury Desk Monthly report Standard risk report          
  Amber (Warning) 75% - 90% Review & prepare action plan Treasurer / Risk Mgr Within 24 hours Breach memo + action plan          
  Red (Breach) 90% - 100% Immediate remediation required CFO Immediate Formal breach report          
  Critical (Over Limit) > 100% Emergency close/reduce positions CFO & Board Risk Cte Immediate Board notification + root cause          
                       
                       
  Notes:                    
  - All limits subject to annual review by Board Risk Committee. Policy effective date: January 2026.                
  - Counterparty limits based on internal credit assessment aligned with S&P/Moody's ratings.                
  - Sample policy framework. Customize to your organization's risk appetite and governance structure.