Monday 20 May 2019

Currency firm targets SMEs with Brexit protection policy

 

Members of Our Future, Our Choice NI arrive to hold a ‘People’s Vote’ protest at Stormont in Belfast, yesterday, claiming they are not being listened to in the Brexit debate. Photo: Brian Lawless/PA Wire
Members of Our Future, Our Choice NI arrive to hold a ‘People’s Vote’ protest at Stormont in Belfast, yesterday, claiming they are not being listened to in the Brexit debate. Photo: Brian Lawless/PA Wire
Samantha McCaughren

Samantha McCaughren

Currency-protection company Assure Hedge has launched a new product, BrexitProtection.ie, aimed at Irish SME's exposed to fluctuations in sterling.

CEO Barry McCarthy said there had been a significant increase in queries from Irish exporters following warnings from Bank of England governor Mark Carney that the value of sterling could plummet by up to as much as 25pc in the case of a no-deal Brexit.

McCarthy said a sterling rate of 95p to the euro would be enough to wipe out the profits of many Irish exporters to the UK.

New figures gathered by Assure Hedge in a Dublin Chamber survey indicated that well over half of SMEs are worried about the volatility of sterling as a result of Brexit.

The company claims the new product would help companies to safeguard their profit margins. "It is a policy which will basically reimburse a business for all of its sterling-related losses due to sterling volatility. We make a single payment to the client as a form of reimbursement."

He claimed that traditional banks were providing little in the way of currency solutions for SMEs.

Assure Hedge was founded in 2016 by McCarthy and is based in Dublin's IFSC.

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