Managing Risk in the Foreign Exchange Money and Derivative Markets

Managing Risk in the Foreign Exchange  Money and Derivative Markets

"Heinz Riehl is one of the world's leading authorities on risk management. In this book, Mr. Riehl gives his readers a better understanding of the risks contained in the portfolios of financial institutions.

Author: Heinz Riehl

Publisher: McGraw-Hill Education

ISBN: 0070526737

Category: Business & Economics

Page: 300

View: 966

Categories: Business & Economics

The Role of Currency Futures in Risk Management

The Role of Currency Futures in Risk Management

Seminar paper from the year 2011 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, grade: 83%, University of Westminster (Msc Finance and Accounting), course: INTERNATIONAL RISK MANAGEMENT, language: ...

Author: Daniel Plaza

Publisher: GRIN Verlag

ISBN: 9783640934140

Category: Business & Economics

Page: 20

View: 997

Seminar paper from the year 2011 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, grade: 83%, University of Westminster (Msc Finance and Accounting), course: INTERNATIONAL RISK MANAGEMENT, language: English, abstract: The purpose of this report is to discuss the role of currency futures in risk management as well as their main advantages and drawbacks. The report will analyse the global rate of utilization of currency futures by comparison with other main currency derivatives and the geographic differences in their usage. Possible explanations for the preference for certain currency derivatives in risk management will be given. The usefulness of currency futures rate as an estimator of future spot rate will be discussed by reviewing and summarizing the existing literature on this subject. Practical applications of currency futures also will be covered in this report.
Categories: Business & Economics

International Financial Management

International Financial Management

Risk Management of Foreign Exchange Exposure by U.S. Multinational Corporations” SSRN Working Paper Series. ... a banker's perspective: Riehl, H. (1999): Managing Risk in the Foreign Exchange, Money and Derivative Markets, McGrawHill.

Author: P G Apte

Publisher: McGraw-Hill Education

ISBN: 9789339205379

Category: Financial Management

Page: 657

View: 656

?The seventh edition of International Financial Management incorporates significant changes that have taken place in the global financial architecture as well as in the Indian regulatory structures. This edition extensively covers recent developments in the forward market as well as also discusses establishment of organizations like CCIL and its role in the Indian foreign exchange market. It continues to discuss case studies which illustrate substantive practical applications of concepts and techniques discussed in the chapters. Salient Features ? Coverage on Financial Swaps and Credit Derivatives which provides an introductory description of the major prototypes of financial swaps and their applications ? Comprehensive coverage on Management of Interest Rate Exposure which covers a wide range of interest rate derivatives ? Textbook has discussions pertaining to the Indian economy, Indian financial markets and Indian regulatory aspects
Categories: Financial Management

Agricultural Supply Chains and the Challenge of Price Risk

Agricultural Supply Chains and the Challenge of Price Risk

49. Riehl, H., 1999. Managing Risk in the Foreign Exchange, Money, and Derivatives Markets. NewYork: McGraw-Hill. Chs. 2, 3, and 4. 50. Hauser, R. J. and Neff, D., 1993. Export/Import Risks at Alternate Stages ofUS Grain Export Trade.

Author: John Williams

Publisher: Routledge

ISBN: 9781134058310

Category: Business & Economics

Page: 304

View: 172

This book discusses the issues of integration within food and fibre supply chains and the challenges in managing price risk. The problems of integration and price risk are interwoven in agricultural supply chains with production and supply risk as well as hoarding. However, without supply chain integration through commercial trade markets there can be no forward market upon which forward transactions and the management of price risk can be based. Without a forward market that can reduce opportunistic behaviour, there is likely to be little security of supply, particularly under high production risk and price uncertainty. Whilst price risk management is possible under certain circumstances, there are many factors that can prevent the development of forward markets or cause them to collapse, thus undermining the ability to manage price risk within acceptable risk and return parameters. Market positions therefore need to be valued and often settled daily due to the risk of contract default. In addition, the issue of currency risk and its management applies to international market positions and transactional exposures. The book analyses a range of price risk management strategies from forward contracting through to futures and options hedging, and finally to over-the-counter products. Evaluation techniques are developed to aid decision-making. The author concludes that forward market development may be the exception rather than the norm, and that whilst favourable price risk management outcomes may be possible, they can sometimes be caused more by luck than through good management. It is shown how tactics are an important consideration in decision-making to minimize costs and losses.
Categories: Business & Economics

Managing Global Financial and Foreign Exchange Rate Risk

Managing Global Financial and Foreign Exchange Rate Risk

A comprehensive guide to managing global financial risk From the balance of payment exposure to foreign exchange and interest rate risk, to credit derivatives and other exotic options, futures, and swaps for mitigating and transferring risk ...

Author: Ghassem A. Homaifar

Publisher: John Wiley & Sons

ISBN: 9780471557333

Category: Business & Economics

Page: 400

View: 185

A comprehensive guide to managing global financial risk From the balance of payment exposure to foreign exchange and interest rate risk, to credit derivatives and other exotic options, futures, and swaps for mitigating and transferring risk, this book provides a simple yet comprehensive analysis of complex derivatives pricing and their application in risk management. The risk posed by foreign exchange transactions stems from the volatility of the exchange rate, the volatility of the interest rates, and factors unique to individual companies which are interrelated. To protect and hedge against adverse currency and interest rate changes, multinational corporations need to take concrete steps for mitigating these risks. Managing Global Financial and Foreign Exchange Rate Risk offers a thorough treatment of price, foreign currency, and interest rate risk management practices of multinational corporations in a dynamic global economy. It lays out the pros and cons of various hedging instruments, as well as the economic cost benefit analysis of alternative hedging vehicles. Written in a detailed yet user–friendly manner, this resource provides treasurers and other financial managers with the tools they need to manage their various exposures to credit, price, and foreign exchange risk. Managing Global Financial and Foreign Exchange Rate Risk covers various swaps in this geometrically growing field with notional principal in excess of $120 trillion. From caplet and corridors to call and put swaptions this book covers the micro structure of the swaps, options, futures, and foreign exchange markets. From credit default swap and transfer and convertibility options to asset swap switch and weather derivatives this book illustrates their simple pricing and application. To show real-world examples, each chapter includes a case study highlighting a specific problem, as well as a set of steps to solve it. Numerous charts accompanied with actual Wall Street figures provide the reader with the opportunity to comprehend and appreciate the role and function of derivatives, which are often misunderstood in the financial market. This detailed resource will guide the individual, government and multinational corporations safely through the maze of various exposures. A must-read for treasures, controllers, money mangers, portfolio managers, security analyst and academics, Managing Global Financial and Foreign Exchange Rate Risk represents an important collection of up-to-date risk management solutions. Ghassem A. Homaifar is a professor of financial economics at Middle Tennessee State University. He has Master of Science in Industrial Management from State University of New York at Stony Brook and PhD in Finance from University of Alabama in 1982. He is the author of numerous articles that have appeared in the Journal of Risk and Insurance, Journal of Business Finance and Accounting, Weltwirtschsftliches Archiv Review of World Economics, Advances in Futures and Options Research,Applied Financial Economics, Applied Economics, International Economics, and Global Finance Journal.
Categories: Business & Economics

Managing Risks in Financial Market Development

Managing Risks in Financial Market Development

This paper proposes an integrated and risk-based approach to the sequencing and coordination of reforms to develop domestic financial markets.

Author: Cem Karacadag

Publisher: International Monetary Fund

ISBN: UCSD:31822033610569

Category: Business & Economics

Page: 37

View: 379

This paper proposes an integrated and risk-based approach to the sequencing and coordination of reforms to develop domestic financial markets. The paper argues that there is a hierarchy of financial markets that reflects the complexity of risks in each market and the interlinkages among markets. On the basis of this hierarchy, a sequencing of market development and risk-mitigation measures is proposed to minimize both macroeconomic and financial risks. Capital account opening can complement (but not substitute for) domestic institutional and market reforms to support the growth of local financial markets. The paper also argues that domestic institutional investors are critical to market development and risk mitigation.
Categories: Business & Economics

Introduction to Derivatives and Risk Management

Introduction to Derivatives and Risk Management

The book delivers detailed coverage of options, futures, forwards, swaps, and risk management as well as a balanced introduction to pricing, trading, and strategy.

Author: Don M. Chance

Publisher: Cengage Learning

ISBN: 9781305688087

Category: Business & Economics

Page: 640

View: 676

Coupling real business examples with minimal technical mathematics, market-leading INTRODUCTION TO DERIVATIVES AND RISK MANAGEMENT, 10e blends institutional material, theory, and practical applications to give students a solid understanding of how derivatives are used to manage the risks of financial decisions. The book delivers detailed coverage of options, futures, forwards, swaps, and risk management as well as a balanced introduction to pricing, trading, and strategy. New Taking Risk in Life features illustrate the application of risk management in real-world financial decisions. In addition, the financial information throughout the Tenth Edition reflects the most recent changes in the derivatives market--one of the most volatile sectors in the financial world. Important Notice: Media content referenced within the product description or the product text may not be available in the ebook version.
Categories: Business & Economics

FX Options and Structured Products

FX Options and Structured Products

With the thoroughness and balance of theory and practice only Uwe Wystup can deliver, this fully revised edition offers authoritative solutions for the real world in an easy-to-access format.

Author: Uwe Wystup

Publisher: John Wiley & Sons

ISBN: 9781118471135

Category: Business & Economics

Page: 472

View: 112

Advanced Guidance to Excelling in the FX Market Once you have a textbook understanding of money market and foreign exchange products, turn to FX Options and Structured Products, Second Edition, for the beyond-vanilla options strategies and traded deals proven superior in today’s post-credit crisis trading environment. With the thoroughness and balance of theory and practice only Uwe Wystup can deliver, this fully revised edition offers authoritative solutions for the real world in an easy-to-access format. See how specific products actually work through detailed case studies featuring clear examples of FX options, common structures and custom solutions. This complete resource is both a wellspring of ideas and a hands-on guide to structuring and executing your own strategies. Distinguish yourself with a valued skillset by: Working through practical and thought-provoking challenges in more than six dozen exercises, all with complete solutions in a companion volume Gaining a working knowledge of the latest, most popular products, including accumulators, kikos, target forwards and more Getting close to the everyday realities of the FX derivatives market through new, illuminating case studies for corporates, municipalities and private banking FX Options and Structured Products, Second Edition is your go-to road map to the exotic options in FX derivatives.
Categories: Business & Economics

International Financial Management

International Financial Management

... of Foreign Exchange Risk , Kluwer Academic Publishers The following book views risk management from a banker's perspective : Riehl , H. ( 1999 ) : Managing Risk in the Foreign Exchange , Money and Derivative Markets , McGrawHill .

Author: Apte

Publisher: Tata McGraw-Hill Education

ISBN: 0070221162

Category: Financial institutions, International

Page: 696

View: 693

Categories: Financial institutions, International