Greenpeace International Employee Loses Millions In FOREX Trading

Greenpeace

For all its good intentions, Greenpeace International announced that the company would be filing record losses this year based on an employee at the environmental campaign group’s Amsterdam headquarters who speculated on the weak Euro. Its believed that the employee lost €3.8 million or roughly $5 million when the euro strengthened and Greenpeace was forced to close its accounts at the end of the year.

Perhaps best known for its direct actions against nuclear proliferation when the group was founded in the late 1960’s, the NGO has branched out over the years to try to affect change on such issues as global warming, deforestation, overfishing, genetic engineering and quite famously, commercial whaling where it has rammed whaling vessels as well as been shot at over the years.

Greenpeace International: The apology

As a result of the unapproved currency speculation, Greenpeace International’s will show a budget deficit of €6.8m.

“We offer a full apology to our supporters for the series of errors that led to the loss,” the group’s statement said. “We further wish to reassure people that every possible action is being taken to avoid the possibility of such a loss ever occurring again in future.”

Not surprisingly, the staff member who worked in the groups international finance unit has been released from his contract. While the group maintains that he wasn’t not interested in personal gain, he did fail to get authorization for his gaffe from his superiors.

Trust and euro exposure

While it may not seem a huge sum, it represents a big chunk of the organizations annual income that was €72.9m in 2013. The biggest cost to the company will certainly be a loss of trust amongst donors. I’m guessing your average donor isn’t a big fan of bankers and speculative investment.

That’s an area where Greenpeace will see losses for some time as 90% of the organization’s funding comes from small donations of under €100.

Greenpeace has long maintained that it only makes real estate investments in cities like London or Moscow where the price of rent is prohibitive compared to a purchase. Given that the majority of the group’s donations are made in euros, exposes the group to currency fluctuations and presumably the exchange contracts were made to protect its assets.

Oops.

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About the Author

Brendan Byrne
While studying economics, Brendan found himself comfortably falling down the rabbit hole of restaurant work, ultimately opening a consulting business and working as a private wine buyer. On a whim, he moved to China, and in his first week following a triumphant pub quiz victory, he found himself bleeding on the floor based on his arrogance. The same man who put him there offered him a job lecturing for the University of Wales in various sister universities throughout the Middle Kingdom. While primarily lecturing in descriptive and comparative statistics, Brendan simultaneously earned an Msc in Banking and International Finance from the University of Wales-Bangor. He's presently doing something he hates, respecting French people. Well, two, his wife and her mother in the lovely town of Antigua, Guatemala. To contact Brendan or give him an exclusive, please contact him at theflask@gmail.com

1 Comment on "Greenpeace International Employee Loses Millions In FOREX Trading"

  1. Greenpeace International employees lost $5.47 million!! Is that a big fact for such big sharks?? Not at all they will recover it in no time. However if a trader like me looses $50K then he will be finished. Be safe and do secure trading guys. If you have a good market analysis and strategy buildup power then you are safe but if you are novice then you should use third party suggestions which are reliable and authentic.

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