Foreign exchange rate exposure and its management. Corporate use of Foreign Currency Derivative- evidence from India

      Аннотация: In today’s world of globalization, with intensification of international trade by more and more companies expanding around the globe, investing directly into several foreign countries has made the financial environment riskier than it was in the past. At present, there is not a single firm which can avert the impact of international economic changes and foreign exchange rate fluctuations. Therefore, foreign exchange risk management is of utmost importance for companies dealing in international trade.This book examine an empirical FOREX exposure risk management by using FCD of Indian Non financial firms for a period between 2006 and 2010. The contents of this book is both interesting and challenging by three reasons. Firstly, Indian exposure management practices are still evolving and are at an early stage of financial development. Secondly, management of exchange rate exposure is many times influenced by expectations and perceptions about the current and future course of events. Finally, not many empirical studies have been attempted on the foreign exchange exposure practices of Indian companies.

Ключевые слова: Foreign Exchange, Stock Return, Foreign Exchage Exposure, Firm vlue, Foreign Currency Derivative