Overview
What this challenge is about.
Build an FX hedging mix for a Sydney cosmetics brand, cut profit volatility by 50%, and earn your verifiable certificate.
The scenario
GlowSydney is a fast-growing D2C cosmetics brand with A$5M annual revenue, 60% COGS in USD, and a lean finance team. They have no prior hedging experience.
The Brief
What you'll do, and what you'll demonstrate.
Design a cost-effective FX hedging strategy to protect GlowBerlin's profit margin from EUR/USD fluctuations over the next year.
Earning criteria — what you'll demonstrate
- Apply currency forward and option pricing models to a real-world hedging problem
- Quantify FX exposure and evaluate hedging effectiveness using metrics like hedge ratio and residual risk
- Design a hedging strategy that balances cost, complexity, and risk reduction
- Communicate derivative-based solutions to non-financial stakeholders
Program Fit
Where this fits in your program.
Sharpens the same skills your degree expects you to demonstrate.
Aligned coursework coming soon.
Skills
Skills you'll demonstrate.
Each one shows up on your verified credential.
- Fx Hedging
Apply fx hedging to solve real industry problems and demonstrate production-level capability.
- Derivatives Pricing
Apply derivatives pricing to solve real industry problems and demonstrate production-level capability.
- Financial Modeling
Build and validate financial models that support strategic business decisions.
- Risk Assessment
Apply risk assessment to solve real industry problems and demonstrate production-level capability.
Careers
Career paths this challenge builds toward
Completing this challenge demonstrates skills that transfer directly to these roles: