What TimeH2O doesIt reads past weekly payments from clients abroad, about $2.01B in the next 13 weeks. It forecasts the cash for each week, with a range. You lock in today's rate for the cash you can count on.
The decision you make every week
Lock in nothinglose $36M if the euro falls 5%
Lock in every invoicebuy back cash that never comes
Lock in what TimeH2O expectsprotected, small risk
Cash TimeH2O expectsLocked inLocked in, but may not arrive
Foreign cash from clients
US$ million per week
Cash that arrivedTimeH2O forecast80% rangeLock in up to here
The app uses sample data made for this example. The numbers show how the steps work. They are not results from a customer.
Foreign cash forecast · Corporate Treasury · for a treasury analyst
Know how much foreign cash will arrive, and lock in today's rate for it.
The problemClients abroad pay in euros, yen and other currencies. If the rate falls before the cash arrives, you get fewer dollars. You can lock in today's rate (an FX hedge), but only for cash you are sure will come.
What TimeH2O doesIt reads the weekly cash each currency brought in the past. It forecasts the cash for each coming week, with a range. It does not forecast the exchange rate.
What you getYou lock in today's rate for the cash you can count on. Then you see, week by week, how the plan worked.
Set up the run
Choose what TimeH2O forecasts and your lock-in policy.
CurrenciesCash expected in 13 weeks
Choose at least one.
History TimeH2O readsWeekly cash clients paid
Weeks to forecastAnd the width of the range
weeks, with a
Lock-in policyYou can change it for each currency
Step 1 of 3
TimeH2O is forecasting the cash from each currency
What TimeH2O doesIt reads the cash clients paid each week in the past. Then it forecasts the cash for each coming week, with a range.
Cash expected–
Low edge of the range–
High edge of the range–
Cash that arrivedTimeH2O forecastPoint at the chart for values.
Step 2 of 3
Use the TimeH2O forecast to choose how much cash to lock in
What TimeH2O doesIt gives the likely cash and a range for each week. The low edge is cash you can count on. Choose a level for each currency, or drag the blue line.
Cash expected–
Locked in–
Not protected–
Cash that arrivedTimeH2O forecastLocked inDrag the blue line to lock in more or less.
Step 3 of 3
Checking the TimeH2O forecast against the real cash
What TimeH2O doesIt made its forecast on day one. Now the weeks play out with the real cash and the real rate. A red ring marks a week with less cash than you locked in.
Do nothing–
With lock-in–
Short weeks–
TimeH2O forecastLocked inWhat really arrivedShort weekPoint at the chart for values.
Results · 13 weeks later
Saved by locking in–
Cash locked in–
Short weeks–
Result for each currency
Currency
Locked in
Rate move
Do nothing
With lock-in
Saved
The app uses sample data made for this example. The numbers show how the steps work. They are not results from a customer.
Source code · Python
Run this use case with TimeH2O in your own environment.
What the code doesIt makes sample data like this app: 2 years of weekly cash for 5 currencies. TimeH2O forecasts the next 13 weeks with a range. Then the code sets the lock-in amount on the low side. To use your own data, change step 1 in the code to read your CSV.
1
Get a free API key at tabh2o.h2oai.com, then set itexport TABH2O_API_KEY=<your key>
2
Install the packagespip install pandas numpy requests
3
Save the code below as a file and run itpython fx_cash_planning.py
1
Install the packages (Python 3.12+)pip install h2ofm pandas numpy requests
Save the code below as a file and run it. It has USE_API = False.python fx_cash_planning.py
fx_cash_planning.py116 lines
The API runs TimeH2O for you, so you do not need a GPU. The code makes its own sample data, so its numbers differ from the numbers in this app.
The open weights are under the H2O Model Non-Commercial License. Production use needs a license from H2O.ai. The code makes its own sample data, so its numbers differ from the numbers in this app.