Education Topic 8 Managing Risk

1. Managing risk 2. Outline Why Manage Risk Insurance Forward and Futures Contracts SWAPS How to Set Up A Hedge Is “Derivative” a Four Letter Word Foreign Exchange Markets…

Documents CORPORATE FINANCIAL THEORY Lecture 11. Hedging & Futures Today We will return to Capital Budgeting....

Slide 1 CORPORATE FINANCIAL THEORY Lecture 11 Slide 2 Hedging & Futures Today  We will return to Capital Budgeting & Financing.  We will discuss how to reduce…

Documents Hedging & Futures Today Business has risk Business Risk - variable costs Financial Risk - Interest.....

Slide 1 Hedging & Futures Today Business has risk Business Risk - variable costs Financial Risk - Interest rate changes Goal - Eliminate risk HOW? Hedging & Futures…

Documents Hedging & Futures Today We will return to Capital Budgeting & Financing. We will discuss how to...

Slide 1 Hedging & Futures Today We will return to Capital Budgeting & Financing. We will discuss how to reduce risk. Topics How to eliminate risk in capital budgeting.…