Glosario
Navegue por el complejo mundo de la administración de divisas con nuestro completo diccionario de términos y definiciones financieras.
Swap automation makes reference to the automated coordination and adjustment of payment and collection timing to optimise cash flow management in conjunction with foreign exchange hedging activities. This technology ensures that settlement dates for hedging instruments align optimally with underlying commercial cash flows, reducing funding costs and improving overall treasury efficiency whilst maintaining hedge effectiveness.
Ensuring a perfect match between the settlement of commercial transactions and the corresponding FX hedges —especially if the latter were taken long before— is next to impossible. To bridge the gap between these positions, swapping is necessary. It is the ‘cash flow moment’ of FX risk management. Swaps allows treasury teams to either: perform early draws on existing forwards or roll over existing forward positions.
However, swapping is complex and resource-intensive. This complexity carries operational risks —including fraud risk— derived from manual execution. That is why they need swap automation to free up resources and remove a series of operational risks and costs. Whether they need to anticipate or roll over FX derivatives transactions linked to payments/collections, treasurers can execute the process in just one click using Kantox’s Currency Management Automation solution.
A SWIFT payment is a cross-border payment processed through the Society for Worldwide Interbank Financial Telecommunication international payment network. This procedure is internationally recognised as the fastest and most secure system for sending financial messages internationally.The SWIFT international payment network sends more than 15 million payments every day and has not lost the documentation of a single transfer in its over 40-year history. Any failure to send funds to their payment destination is due to errors in the details included in the SWIFT payment.The vast majority of the world’s interbank network use SWIFT. Over 10,000 financial institutions worldwide operate in over 200 countries and territories with SWIFT.