How can I plan for exchange rate changes while awaiting inheritance?

I expect to receive an inheritance from the UK that I will transfer to France. What can I do to avoid losing out if sterling drops against the euro?

Currency markets are constantly moving so using specialist currency transfer services could make a difference to how much arrives in your account.

If you are about to receive an inheritance, you may not be aware of the exact amount or a clear timeline but you can still start considering options.

With a forward contract, you can decide to lock the existing rate and transfer a sum of money at a future date up to a year away (some flexibility may be possible in the date, such as in a named month or ‘the last quarter of 2026’).

This means you could benefit from your chosen rate whenever you receive the money (potentially weeks or months away). You will need to agree to transfer a specific amount and may be asked for a 10% deposit. If later you are likely to miss the agreed date for unforeseen reasons firms will normally agree an extension, possibly at an extra (usually modest) fee.

If you are unsure of the amount you will transfer or do not want to commit to a forward contract, another option is to tell a currency specialist your desired rate and they can notify you when the market reaches it. At that point, you can proceed or revise your alert to a new chosen rate.