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Multicurrency: managing ABF transactions across global markets

No more limits on where you invest globally. With our new Multicurrency feature, you can invest in every currency, and with a click of a button, integrate all your complex ABF transactions in the base currency of your fund. Implementing robust systems, processes, and risk management strategies is essential to mitigate the challenges associated with multicurrency transactions and ensure smooth operations in international markets. Done so free of errors caused by the lack of visibility, and from a single point of view.

What’s in it for you?

Our new Multicurrency feature supports investors manage opportunities beyond borders and diversify their portfolios across various products and regions:

  • Increase your Fund’s ROI considerably through centralized management of FX fluctuations and derivatives costs.
  • Save up to 30% of time with streamlined currency conversion processes.
  • Reduce risk with real-time insights into currency fluctuations, strengthening risk management strategies.
  • Improve accuracy in transaction management by automating currency calculations to eliminate errors.

Why does it matter?

Managing Asset-Based Finance transactions in multi-currency can be complicated for several reasons:

  • Exchange rates fluctuate constantly in the international currency markets, impacting the value of outstanding balances, interest payments, and cash flows, making it challenging to accurately predict financial obligations.
  • Currency markets are exposed to risk, where fluctuations in exchange rates can result in financial losses or gains. 
  • Accurate accounting is required for currency conversions including translation of financial statements into a single reporting currency and compliance with relevant accounting standards.
  • Operational challenges, including managing multiple bank accounts, reconciling accounts in different currencies, and processing foreign currency transactions. 
  • Compliance and regulatory framework can vary depending on specific currency jurisdiction.

Currency Converter tab in Cardo AI platform

Image 1: Currency Converter controls tab

How does it work?

Our Multicurrency feature integrates seamlessly with your existing systems to provide a streamlined approach to managing globally diversified portfolios:

  • Automated currency conversion: Automatically converts all transactions to the base currency of your fund at the most current exchange rates, ensuring that financial reporting is consistent and compliant.
  • Centralized currency management: Manages all currency transactions from a single platform, allowing for centralized control and visibility, which reduces the time and effort needed to manage multiple accounts in different currencies.
  • Risk Management tools: Incorporates real-time monitoring of foreign exchange rates and automated alerts. This enables proactive management of currency exposure and minimizes potential losses due to rate fluctuations.

Multicurrency feature in use, in Cardo AI platform

Image 2: Multicurrency feature in use – Cardo AI platform

By automating and centralizing the currency management process, our solution not only saves time but also reduces errors and enhances your ability to make informed decisions regarding your international investments.

Ready to take your multicurrency transactions management to the next level? Request a demo here to see it in action.