Currency Insights Library

USD as Argentina's new currency?

Peso today, dollar tomorrow. Facing triple-digit inflation, Argentina considers a currency change.

Futures overlays for investors

Hedge Share Class Investors Grapple with Shorter (T+1) Security Settlement Cycle.

3Q2023 Currency Commentary

Examination of 3Q2023 market activity and Mesirow’s currency for return strategies.

An armed war and a currency battle

Dollar dominance be damned! Russia tries to trade in other currencies with so-so results.

USD and the BRICS threat

Sanctions on Russia lead to a call for a new currency to compete with the USD. Is a common currency likely?

2Q2023 Currency Commentary

2Q2023 currency market activity and commentary on Mesirow's currency for return strategies.

Turkey’s currency crisis

Lira plummets and President Erdogan calls inflation the ‘mother and father of all evil’.

T+1 securities settlement cycle

Close-up of a analog clock with time showing 11:57

Same-day security settlement is moving closer to reality. Is the FX market ready?

FX settlement risk and CBDCs

Financial technology concept. Fintech. Online banking. Foreign exchange.

Foreign exchange trades settle two days after trading. Could they settle in 30 seconds?

Shielding your investment

Uto Shinohara outlines benefits of active currency hedging for European investors.

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Central bank digital currencies

Nations are rushing to launch CBDCs. Will the U.S. be a leader or a laggard in the digital currency race?

USD as global reserve currency

Crises and competition challenges USD hegemony as the dominant foreign exchange reserve.

US dollar: Currency dynasty

How did the USD come to be the world's reserve currency, and is its position safe?

2023 currency outlook

blue and purple lines graphs overlapping on dot grid

The delicate relationship between tightening and recession hangs in the balance as we enter 2023.

Inflation and currency

rolled, stacked, varying types of currency in columns

With inflation surging, investors question its effects on investments globally.

FX perspective companion

closeup of Euro monies with classic columns

MCM takes a look at the effect of Coronavirus pandemic on the Dollar Spot Index.

2022 Currency Outlook

Inflation, the Fed, and the US dollar. DXY v. yields, cryptocurrencies, and inflationary pressure.

Currency to diversify risk

Financial growth, Interest rate increase, Interest rate financial

Currency can be an ideal way to diversify risk within traditional portfolios.

2021 Currency Outlook

2020 will be remembered for the market implications related to COVID-19, Brexit, and the US election.

IN THE NEWS

In the news

T+1 creates headache for FX trades

Faster securities settlement increases FX risk as brokers work through the challenges of achieving simultaneous equity and currency trades.

Pension funds look to currencies

International money currency banknote background

Some portfolio managers worry about upside in equities and fixed income and look to currency strategies to boost overall returns.

USD slips as market eyes Fed action

Slightly off axis, shallow focus close up, of president George Washington, from obverse of American one dollar bill

Economic data (and still high inflation) has led some banks to forecast three additional rate hikes from the Fed in 2023.

FXPA names Mesirow as newest member

The Foreign Exchange Professionals Association (FXPA) represents the collective interests of the institutional FX industry.

Lessons learnt from COVID

Background blue virus cells, blood platelets, capsule pills. Digital 3d vector illustration

A reflection on the Coronavirus pandemic’s lasting impact and influence on currency markets and lessons to take into the future.

Currency Manager of the Year 2022

fifty European Polish zlotys on the front side, obverse with the king

For the third year in a row, MoneyAge has named Mesirow Currency Management its Currency Manager of the Year.

ESG factors & currency strategies

Sustainable glass office building with tree for reducing carbon dioxide.

Joe Hoffman, Mesirow Currency Management CEO, speaks on ESG factors for an FX strategy at the 2021 ASI conference.

Mesirow Currency expands PM team

Hundred dollar bill in abstract lighting, close-up

Mesirow Currency Management hires Marcin Bednarczyk from Russell Investments. Bednarczyk will focus on investment strategy and PM functions.

FX hedgepool - matching platform

Bright and modern ceiling Modern Building in Shenzhen, China Abstract Architecture, curve detail and modern facade

Peer-to-peer matching platform FX HedgePool targets the FX swaps market and asset managers' month-end hedging activity.

FX trading during COVID

One dollar bills with protective face mask in a digital space with dna microarray concept.

Foreign exchange traders are transacting millions from their living rooms as currency markets adapt to a new normal.

Currency exposure & pension funds

A look at how Europe’s pension funds can take advantage of currency exposure and minimise the risks associated with it.

FX and the Big Bang Theory

Night sky filled with stars and nebula, space dust in the universe, 3d rendering

As electronic trading went mainstream, it created an explosion of growth in the market. But has this growth run out of steam?

A currency resurgence

After losing popularity following the crash in 2008, currency is undergoing a resurgence with investors considering it as a source of alpha.

Mesirow Currency expands team

Dollars bills. Background with paper dollar sheets and stamps for printing. 3D render

Aaron Wham and Mike Emambakhsh, PhD have joined the firm’s Currency team; establishing the group’s presence in Seattle and London.

FX Global Code of Conduct

Macro photography of the microprint or microtext on the Australian 10 dollar.

An honest discussion about the challenges associated with implementing the Global FX Code of Conduct.

The buy side and the FX Global Code

Much has been made of the low buy side sign up to the FX Global Code, but numbers are growing as more managers sign the pledge.

MCM acquires global alpha team

Pound currency background, close-up - 20 Pounds

Mesirow announced an agreement to acquire assets of The Cambridge Strategy (Asset Mgt) Ltd, a UK-based currency alpha investment firm.

Currency Manager of the Year

European Pensions awards Mesirow Currency Management their Currency Manager of the Year Award at their annual ceremony in London.

Best execution in foreign exchange

US Paper Currency, Stock Market and Exchange, Currency, Finance, Graph

Taking a more pragmatic approach to the ongoing process of aligning new regulations with client goals and expectations.

RESEARCH

Research

A currency guide for investors

rolls of world currencies in rubber bands on yellow background

The impact currency has from the perspective of risk providers & return generators.

Exchange rate changes and ESG

2 glass buildings with superimposed green tree tops

Predicting exchange rate changes using country environmental, social, and governance ratings.

EM risks for U.S. investors

graphs stacked at angle with purple blue and yellow

Examining currency risk in an EM international equity portfolio from the perspective of a USD based investor.

Enhancing ESG portfolio returns

Building side view with green plants in boxes

Could currency alpha help enhance the return to risk ratios of an ESG rated equity or bond fund?

Mesirow Intelligent Carry Factor

blue and orange bar chart superimposed over US 100 Dollar bills

Why having an adaptable carry strategy is important in a time of risk aversion.

Accessing currency returns

graph transparent over US 100 dollars and 1 curled 100 Euro

A methodology for constructing three "intelligent" currency beta factors based on popular trading styles.

CLS delivers lowers costs, lowers risks

red graphic with bar chart line graph and table with numeric values

MCM examines the benefits of Continuous Linked Settlement (CLS) from the trading desk perspective.

Currency hedging v. not hedging

line graphs superimposed on a screen of percentages and numeric values

A look at the advantages of currency hedging from the point of view of a U.S. investor.

INNOVATION

Innovation

COVID-19, economy and currencies

macro view of cellular bisection with blue dyes

MCM analyzes COVID-19's economic impact on currencies and presents a predictive model utilizing COVID-19 indicators for FX trading signals in this extensive work.

Data visualisation & FX trading

small blue semi-transparent circles on a black background

Does more data mean better models? Not for neural network-based FX trading. This paper explores a qualitative approach to training deep neural network FX strategies.

ESG for systematic FX trading

transparent globe formed from blue and white lines and circles

This work highlights our incorporation of ESG data into our systematic FX trading strategies utilizing an in-house pipeline for data acquisition, cleansing, restructuring, and standardization.

Featured in European Pensions

MCM explains how fusing signals generated from 'micro' and 'macro' deep neural networks (DNNs) can alleviate the effects of various issues common with DNNs.

MCM on Moneyage podcast

close-up of microphone with peach and teal colored light reflections

MCM's Richard Turner and Mike Emambakhsh, PhD, discuss currency opportunities for asset managers as well as detailing their work with machine learning and FX models.

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Deep neural networks

cgi of a brain created from color points and connecting blue-green lines

Using historical spot rates, MCM's neural network models address the challenges that traditional machine learning techniques can face when modelling financial time series.

Talking FX algorithms

MCM discusses their role as agent and fiduciary, their technology and trading infrastructure, and the importance of selecting the right algo execution strategy in order to fulfill client orders.