I work in the Treasury Department of company called Lear Corporation. As the company is one of the largest automotive suppliers in the world, a large portion of their revenues and costs are in foreign currencies. Thus, my main job is to help manage the company’ s exposure to fluctuations in the foreign exchange market, which is the largest and most liquid market in the world. My group and I basically attempt to forecast which direction different currencies are headed based on economic fundamentals and political events.
We then ‘hedge’ our exposure by making contracts with banks where we agree to exchange a fixed amount of a currency at a fixed price in the future---using a derivate instrument called a forward contract. My job requires a strong predilection for current events and the international political economy. With political crises erupting throughout the Middle East, and one of the worst natural disasters of our time striking Japan, my experience has expanded my world view immensely, and I have a newfound appreciation for the interconnectedness of the economic and political systems between different countries. All in all I enjoy my job, although I warn you, adjusting your sleep schedule after college truly sucks!