GLOBAL – ABN Amro says it has hired James Binny as director of FX analytics and risk advisory for Europe as it responds to increased currency overlay demand from pension funds.

It said that new accounting regulations such as FRS17 and IAS19 are behind pension fund demand for currency overlay advice.

“New international accounting regulations, requiring pension funds to mark assets to market, are sharply increasing demand for currency overlay,” ABN Amro said in a statement.

“At the same time, the impact of the falling US dollar on asset values and the search for alternative sources of return, continue to focus the minds of investors on the impact of currencies in their portfolios.”

Binny will be based in London and work alongside Kenrick
Ramlochan. The bank said Binny was formerly a senior investment manager at Gartmore Investment Management in the UK. The FX advisory team was set up last year.

“James brings highly valuable experience of institutional investment, which will be of great importance in tailoring our services to the needs of the asset management and pension fund sector,” said Edward Wassink, global head of distribution for financial institutions and public sector clients.

“Pension funds are becoming increasingly aware of new fiduciary duties that will result from impending changes in accounting regulations,” said ABN Amro’s global head of FX analytics and risk advisory Matthew Annenberg.