Advanced tools support export business.

Author: Marcin Serafin, Head of the Customers Transactions Sub-unit at the Treasury Department, Bank Millennium

Although at present, the investment conditions abroad are good and Polish entrepreneurs have become more self-assured and experienced, and have bigger appetite for the conquest of new markets, we should remember about the challenges which the domestic companies face. The key obstacle in their expansion is not only the unstable financial situation of such states as China, Russia or Middle East countries, but also high FX fluctuations that may result in an increase in obligations or decrease in receivables of companies. Financial controllers of the enterprises operating on the international markets may use solutions securing against FX risk and online and mobile transaction platforms whereby they get direct access to the international FX market, and they may react on an on-going-basis to the changing situation, selling and buying currencies, on competitive conditions, on their own.

Operation of electronic transaction platforms is based on very simple principles. Entrepreneur may, at any place and time, without intermediation of bank’s dealer, sell or buy currencies, conclude FX hedge transactions etc. Online conclusion of transactions simplifies and shortens transaction time, allows achievement of full control over their course, as well as over company’s FX position and getting market transaction prices, even for small nominals.

After logging to the platform, client may watch on the computer’s screen on-line prices for FX currencies. Millennium Forex Trader platform supports conclusion of transactions on the most important currency pairs: EUR/PLN, USD/PLN, CHF/PLN, GBP/PLN, EUR/USD, NOK/PLN, SEK/PLN, DKK/PLN, JPY/PLN. Transactions are concluded at current FX rates, derived directly from the market. Client may dynamically react to the changing market situation and perform buy and sell transactions at the best moment in time chosen by him. Transaction settlement is very simple and convenient, while the effects of the transaction can be viewed in the system immediately upon its conclusion.