Saxo Bank, the Danish lender which specialises in interest rate and currency hedging brokerage on margin, faces potential losses of more than $107 million following the Swiss central bank\'s decision to allow its currency to float freely against the euro.

In an announcement, Saxo said it was in contact with its customers, some of which may be unable to settle their currency accounts. But it stressed that it would afford to absorb the losses.

Saxo is the latest broker to have been hit by the soaring Swiss franc after the abandonment of the euro cap by the Swiss National Bank.

Broker Alpari UK, w...