Evaluating Currency Management Approaches

An investment manager at Global Equity Partners is evaluating their currency management approach for an international portfolio. The firm typically employs strategic currency management by establishing a long-term hedging strategy that aligns with its investment outlook over multiple years.

However, due to recent volatility in the foreign exchange market, the manager is considering taking advantage of short-term currency movements to enhance returns. This shift indicates a potential tactical approach where the manager seeks to capture short-term gains rather than adhering strictly to a long-term strategy.

Based on this scenario, what type of currency management approach is the investment manager most likely considering?