INVESTMENTS & PENSIONS
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There are also the underlying issues that remain with the ongoing conflicts between Russia and Ukraine , and Israel and Palestine .
Whilst reduced inflation should lead to a reduction in costs many businesses and households should still expect a challenging and volatile 2024 . As always this year should be about saving , but making savings in the right places , being shrewd about utilising the services that are available to you and leveraging them to offset increasing costs .
Something often overlooked is saving money through foreign exchange exposure .
If you have a client exposed to one of the below ( Corporate or Private individual ) then you should certainly be advising them to be receiving expert and free guidance from a specialist ;
• Buying / selling property overseas
• Being paid in a foreign currency
• Inheritance from overseas
• Probates
• Sale and purchase of shares in another currency
• Business FX flow
HERE ARE OUR TOP FIVE WAYS TO SAVE YOUR CLIENTS MONEY BY OPTIMISING THEIR FOREIGN EXCHANGE PROVISION :
1 . Your client might not be getting the most competitive rates from your bank
When you ’ re exchanging large amounts of money , a small difference in rate can make a big impact . At Moneycorp , we source our rates through our panel of 18 liquidity providers but many banks are bound by a single rate .
It ’ s essential to manage your execution risk because , depending on how much you ’ re exchanging , the difference could be in the thousands – For a client with who is aware of their exposure in advance of their payments , these savings can be the difference between keeping a business afloat or affording that dream property .
2 . Ensure they are aware of hidden costs and unnecessary transaction fees
Watch out for hidden costs – some foreign exchange providers charge clients to open an account and to hold various currencies , while others charge fixed fees on transfers . It is free to open and hold an account with Moneycorp with zero transactional fees .
3 . Think about opening a multiple-currency account
The outlook for 2024 is somewhat mixed . Whilst inflation is falling resulting in central banks globally looking to reduce interest rates there remain several issues at play that could disrupt financial markets . Many have dubbed 2024 the year of elections with at least 64 countries plus the EU due to hold national elections . As always elections bring uncertainty to an economy which can disrupt its economic performance . With The US election towards the end of the year , expected elections in the spring for the UK and the EU too that brings considerable uncertainty to the leading economies .
If your client receives multiple currencies , make sure you have an account that supports that . It ’ s easy to incur charges and fees inadvertently when you receive different currencies into your UK bank account – and once it ’ s done , it ’ s difficult to do anything about it .
With an account that holds multiple currencies , you avoid these fees . It ’ s an easy move to cut costs , and we ’ ve seen clients save over $ 10,000 a year simply by opening a multi-currency account .
Our multi-currency IBAN is unique to Moneycorp . It allows our clients to receive payments and hold funds in 30 different currencies from over 70 countries in the world .