RJF · 10-Q · 2026Q2 · Full report

FX / Currency Headwinds

RAYMOND JAMES FINANCIAL INC · 2026-08-05 · Importance 23 · Surprise 22

Raymond James’ banking operations have foreign-exchange exposure from investments in foreign subsidiaries and non-U.S.-dollar transactions. The bank loan portfolio included Canadian-dollar loans equivalent to $890 million at June 30, 2026, down from $1.00 billion at September 30, 2025; Raymond James Bank uses short-term forward contracts, primarily designated as net-investment hedges, to mitigate exposure to its Canadian subsidiary. Unhedged non-bank foreign-subsidiary exposures included CAD 532 million invested in RJ Ltd. and £325 million invested in the UK private-client subsidiary at June 30, 2026, with related gains and losses primarily recorded in OCI.

Key facts

• At June 30, 2026, we had foreign exchange risk in our investment in RJ Ltd. of CAD 532 million and in our investment in our UK PCG subsidiary of £325 million, which were not hedged. source
• Raymond James Bank utilizes short-term, forward foreign exchange contracts to mitigate foreign exchange risk related to its investment in the Canadian subsidiary; these derivatives are primarily accounted for as net investment hedges. source
• Bank loan portfolio included loans denominated in Canadian dollars totaling $890 million at June 30, 2026 and $1.00 billion at September 30, 2025 when converted to USD using the spot rate at those times. source