Q&A: Charles Romilly
ECU Group in London uses currency management to reduce clients' lending costs. As it starts pitching to corporates for the first time, ECU's head of corporate liability management explains how it works
Q: The idea of reducing debt by currency management is appealing. How does it work?
A: Think of the two sides of a balance sheet. In an environment of low interest rates, benign economic conditions and generally rising prices, investors focus on assets and go to great lengths to identify talented asset managers. However, in an environment of rising interest rates, declining economic output and stagnating or even falling valuations, liabilities assume greater relevance.
At ECU, we believe a unit of
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