Balancing Digital Aspirations While Addressing Risk Management Fundamentals: Observations From Citi Treasury Diagnostics

30 FX RISK MANAGEMENT: REGIONAL VARIATIONS IN HEDGING Layered Hedging NAM NAM NAM NAM 39% 15% 30% 16% APAC APAC APAC APAC 23% 17% 27% 33% EMEA EMEA EMEA EMEA 24% 12% 41% 23% LATAM LATAM LATAM LATAM 7% 38% 21% 34% Opportunistic Hedging Rolling Hedging Static Hedging The majority of companies in both NAM (69%) and EMEA (65%) follow either a rolling or layered hedging approach while APAC is slightly less (50%). In LATAM opportunistic and static strategies (72%) are more prevalent perhaps highlighting regional differences in hedge objectives.