Mexican Peso

[sfca]

Could those who know, if anyone here knows, what the maximum tenor exposure is allowed by your credit people for Peso derivatives such as cross currency swaps (1 year, 5 year,...) ?  And what kind of risk number like MPE would approximately be applied?  Thanks in advance.

[Nonius]

I am not at liberty to tell, but, I will say one thing....the way you measure the exposure will depend on whether you are dealing with a Mexican counterpart or not.  there is a country risk component that should be accounted for, as well as a fair amount of wrong way exposure.