We provide financial departments of international companies with short-, medium- and/or long-term projections on exchange rates for both emerging markets and developed markets.
We use a large range of econometric modeling tools as well as results from our country risk service RiskMonitor on exchange rate risk. Econometric tools would include Error Correction Models (ECM), standard MCO, regime-switching models, Monte Carlo simulations.
Cyclical, inflation, interest rates & exchange rates medium-term scenarios
We provide financial / corporate planning departments of international companies (corporate finance / treasury – forex / budget - planning management) with short- to medium-term scenarios on critical economic and financial variables (GDP growth, inflation, short-term interest rates, long-term bond yields, exchange rates) for major mature economies (US, Eurozone, UK, Japan, Australia, Norway).
The toolbox of quantitative methods is quite large, but we usually use non-linear tools for cyclical variables and complex econometric tools for exchange rates (ECM, standard MCO, regime-switching models, Monte Carlo simulations).