Control 15.17: Hedging foreign currency exchange rate risks
Speculative foreign exchange hedging is forbidden.
The Finance Department shall ensure that:
• Its foreign exchange risk is systematically hedged, except special dispensation by the DTF,
• All transactions to hedge the exchange rate risk are performed solely through SG Compensation, the delegation or the DTF, except special dispensation by the DTF.
When the entity is authorised to carry out hedging transactions, there is a hedging procedure that sets forth the rules for authorising, qualifying and documenting hedges as well as the authorised hedging instruments conforming to the note of doctrine A71AS391.
This procedure, is validated by the DTF, is sent to the people concerned, and is regularly updated.