Risk Management
Towards the end of 2015 SACCI participated in a survey on currency risk and risk management that was carried by National Treasury and Rand Merchant Bank.
Some key highlights from the survey:
- The currency has a major impact on firms, playing a particularly large role in inhibiting investment
- Most firms adhere to good risk management policies but there is certainly room for improvement, particularly in smaller firms
- Many firms feel that their skills leave them well-equipped to conduct hedging, although this is not the case for many medium and smaller firms
- Regulatory issues are a constraint, with ExCon and accounting practices seen as an obstacle