The Peculiarities of Foreign Exchange and Insurance Markets

Foreign exchange risk is one of the most important components financial market. Like any other risk, it can be managed or avoided. Financial management requires relevant knowledge and resources only specialized institutions are engaged in doing so. Thee commercial banks do not accept foreign risks, their assets liabilities denominated same currency. Therefore, recommended for households businesses to avoid currency risk. People's behavior different during sharp fluctuations rates. There no ideal tactic behavior. However, we would like share some basic tips help you reduce your expected risks; At time, undesirable attitude characteristic period strong course will become clearer more preventive. We hope that information presented such circumstances make right decision. Keywords: insurance market efficiency; Exchange rate insurance; Involvement instruments.