Cross-currency transactions are an increasingly common and valuable part of business for small and medium-sized enterprises. To help those companies add certainty in the often volatile world of foreign exchange rates, Bank of America Merrill Lynch (BofA Merrill) now offers its financial institution (FI) clients a fully integrated FX risk management program, which includes guaranteed FX rates for up to 180 days for their qualified customers.
Similar to what BofA Merrill already offers its corporate clients, the guaranteed rates program benefits both FIs and their customers by reducing risk, increasing efficiency and smoothing out volatility.
“Our financial institution clients are seeing increased competition from both bank and non-bank providers in providing payments services to businesses,” said David Kretz, head of Global Strategy and Payments for Global Transaction Services (GTS) at BofA Merrill. “We are pleased to add a guaranteed FX rate program for them to pass along to their business customers to use for cross-currency payments.”
Banks who take advantage of the guaranteed FX rate program benefit from:
Through the guaranteed rate program, BofA Merrill offers more than 140 currencies, with 25 of the most common currencies available for guaranteed rates of greater than one day up to 180 days.
“For our FI clients, this program removes much of the risk management challenge of arranging cross-currency payments for their customers,” said Stephanie Wolf, head of Global Financial Institutions, Governments and Business Banking for GTS. “Plus, the burden on their customers of worrying about FX rate volatility impacting their payments is eliminated.”
Bank of America Merrill Lynch products and services are subject to applicable terms and conditions.
Bank of America is one of the world’s leading financial institutions, serving individual consumers, small and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 66 million consumer and small business clients with approximately 4,300 retail financial centers, including approximately 2,200 lending centers, 2,400 financial centers with a Consumer Investment Financial Solutions Advisor and 1,700 business centers; approximately 16,600 ATMs; and award-winning digital banking with more than 37 million active users, including approximately 28 million mobile users. Bank of America is a global leader in wealth management, corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 3 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations across the United States, its territories and approximately 35 countries. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.
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