The past week has seen significant movement in the pound with it declining following a spate of gloomy economic forecasts and never-ending Brexit uncertainty. It hit a new low for 2019 on Tuesday and there are fresh warnings of potential plummets following a no deal Brexit in the news today. As the political instability appears set to continue for a number of months at least it is crucial, now more than ever, that fund managers have appropriate strategies to deal with short term currency risk. With current markets we are seeing significant movements in value between drawing funds from investors and investing in assets. To combat this fund managers should be aware of the different instruments available beyond spot trades. Simple forwards covering the drawdown period can eliminate currency fluctuation risk with very minimal costs to funds and are straightforward to implement if well prepared in advance. NCM liaise with a number of currency brokers on clients’ behalf and your client contact can advise further should you have any queries regarding this.