Currency hedge calculator
Paying a supplier abroad later? See what a foreign currency bill costs if you fix all, none or part of it today, and how each choice holds up if the rate moves. Free, no sign-up, nothing leaves your browser.
- 1Type in your own numbers
- 2The tool works it out
- 3See the answer clearly
Enter the fixed rate a provider quotes you; the starting numbers are only an example. A higher rate on the day means USD got dearer. This compares outcomes and isn't advice.
| Rate on the day | Your mix | Fix none |
|---|---|---|
| 0.7110 (-10%) | £7,505.00 | £7,110.00 |
| 0.7505 (-5%) | £7,702.50 | £7,505.00 |
| 0.7900 (0%) | £7,900.00 | £7,900.00 |
| 0.8295 (+5%) | £8,097.50 | £8,295.00 |
| 0.8690 (+10%) | £8,295.00 | £8,690.00 |
Why hedge at all
A business that buys abroad can see its profit shrink simply because a currency moved between agreeing a price and paying. A UK shop that agrees to pay a US supplier $10,000 in three months pays more in pounds if the pound falls against the dollar in that time, even though nothing else changed.
Fixing part, not all
A forward contract fixes an exchange rate today for a payment later. Hedging has costs and can mean missing out when rates move your way, so some businesses fix only part of a bill and leave the rest at whatever the rate is on the day. It tends to matter most when foreign payments are large compared with profit.
See it happen
Your own money app- 1Name it and pick your colours
- 2Choose what it does
- 3Launch when you are ready
Try it
Name your platform and watch it come to life
Type a name, tap a colour and pick what it does. The phone changes as you go.
Colour
What it does
Design and preview your whole platform free, then launch when you are ready.
Launch your own multi-currency money app
SendPay platforms include GBP, EUR and USD accounts and currency exchange under your own brand, powered by licensed partners, so balances can be held in the currency you pay in. SendPay doesn't offer forward contracts or options.