Foreign Currency Exposure and Hedging: Evidence from Foreign Acquisitions
نویسندگان
چکیده
منابع مشابه
Foreign exchange rate exposure: Evidence from Canada
a r t i c l e i n f o JEL classification: G32 G12 G01 F31 D53 D82 Keywords: Financial risk Foreign exchange rate Nonlinear exposure Asymmetric exposure Nonparametric methods Using weekly data from 2003 to 2011, this paper examines the presence of exchange rate exposure in thirteen Canadian industry sectors. This study contributes to the literature in a number of ways: (i) it considers the prese...
متن کاملForeign Currency Futures
The 1heoretical na1ure of risk premiums in roreign currency futures markets is derived and s1udied empirically. Eslimation problems encountered in using futures da1a are discussed. Since forward rates and fu1ures prices have been found to be approximately equal, and because risk premiums in forward markets are highly variable, consistency of the data requires time variation in daily risk premiu...
متن کاملInvestment, Devaluation, and Foreign Currency Exposure: The Case of Mexico
This paper studies ̄rm-level investment in the wake of the Mexican peso crisis of 1994. While exporters outperform nonexporters in terms of pro ̄ts and sales after the devaluation, their investment is constrained by weak balance sheets. Speci ̄cally, we ̄nd that ̄rms with heavy exposure to short-term foreign currency debt before the devaluation experienced relatively low levels of post-devaluation...
متن کاملMultiFractality in Foreign Currency Markets
The standard hypothesis concerning the behavior of asset returns states that they follow a random walk in discrete time or a Brownian motion in continuous time. The Brownian motion process is characterized by a quantity, called the Hurst exponent, which is related to some fractal aspects of the process itself. For a standard Brownian motion (sBm) this exponent is equal to 0.5. Several empirical...
متن کاملForeign currency lending in emerging Europe: bank-level evidence
Based on survey data from 193 banks in 20 countries we provide the first bank-level analysis of the determinants of foreign currency (FX) lending in emerging Europe. We find that FX lending by all banks, regardless of their ownership structure, is strongly determined by the macroeconomic environment. We find no evidence of foreign banks ‘pushing’ FX loans indiscriminately because of easier acce...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
ژورنال
عنوان ژورنال: SSRN Electronic Journal
سال: 2010
ISSN: 1556-5068
DOI: 10.2139/ssrn.1008270