We see it all the time. As part of a business consultation — or sometimes just general conversation — we’ll ask internationally active clients what kind of exposure they have to foreign currency. The answer tends to be the same: “Oh, we don’t have any issues with currency. We buy and sell in dollars.” And they want the discussion to end there.
But it shouldn’t. Time and again, businesses fall victim to the dollar trap, losing up to tens of thousands of dollars on international transactions that could have been avoided if only they’d had the right knowledge. During this 5-minute podcast, Plante Moran’s Lou Longo and Patrick Murphy of Commonwealth Foreign Exchange discuss the dollar trap, how to avoid it, and what can be gained by paying attention to this often-overlooked quagmire.