Question
a. According to the exchange rate risk imbedded in international finance, please explain all possible ways to hedge the risk.(forward, futures, money market, option, netting,
a. According to the exchange rate risk imbedded in international finance, please explain all possible ways to hedge the risk.(forward, futures, money market, option, netting, swap)(12 marks)
b. Discuss any potential issues with each hedging method.(18 marks)
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Practical Financial Management
Authors: William R. Lasher
7th edition
128560721X, 9781133593669, 1133593682, 9781285607214, 978-1133593683
