A company parks half a million Dollars in a yen-denominated position. A year later it’s up 12%, and the finance team is pleased. Then they convert back to Dollars and the gain has vanished. The asset performed. The currency undid it.
Series & Articles
The Protection Playbook
Your Project Completes in Six Months. Your Locked Exchange Rate Doesn’t Have to Wait That Long.
July 17, 2026
You’ve priced a job using today’s exchange rate but you don’t need to pay the supplier until next spring. A forward contract lets you set that rate now, so the number in your budget is the number you will pay. Here’s how it works.
The Exchange Rate Effect
You’re buying foreign currency. You just didn’t know it.
July 17, 2026
Your bank makes money every time you pay a foreign supplier. Not in fees — in the exchange rate itself. It’s legal, it’s standard practice, and most construction businesses have no idea it’s happening.