New currency overlay service steadies market
RBC Investor and Treasury Services, part of the Royal Bank of Canada, today announced the launch of a new customised service to Australian clients for their global passive currency hedging requirements.
While Canada's largest bank has outsourced services to fund managers in Australia for more than a decade, this marks the first foray into providing currency hedged products to Australian clients.
The expansion of RBC's foreign services in Australia will be provided with FX trade calculation and will be a multi-currency solution which can be tailored to individual client needs.
For asset owners and investment managers looking to steer clear of embedded currency risks from the current selection of underlying global investments, RBC is hoping to navigate the way.
RBC managing director, David Travers, said "in light of continued volatility in currency markets, we are focused on bringing our global capability to clients".
"We have a strong track record in providing passive currency overlay solutions in other markets... and continuing to support our clients with efficient and transparent market product solutions," he said.
As part of a broad scope of FX services, RBC Investor and Treasury Services will provide clients with 24-hour direct FX execution as well as delegated solutions for both operational FX and passive currency overlay, through its global FX dealing desks in Luxembourg, the United Kingdom, Hong Kong, and east-central Canada.
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