Chapter 5 Managing Transaction Exposure 1 Objectives A primary objective of the chapter is to provide an overview of hedging techniques . Yet, transaction exposure cannot…

Slide 1Managing Transaction Exposure 11 Chapter South-Western/Thomson Learning © 2003 Slide 2 A11 - 2 Chapter Objectives To identify the commonly used techniques for hedging…

Slide 1 Hedge overview H Futures provide additional marketing alternatives H Can transfer price risk H Can establish approximate price levels in advance of cash market transactions…

Slide 1 Understanding Agricultural Options John Hobert Farm Business Management Program Riverland Community College Slide 2 Why are Agricultural Options Popular? n Options…

Slide 1 Managing Transaction Exposure 11 Chapter South-Western/Thomson Learning © 2003 Slide 2 B11 - 2 Chapter Objectives To identify the commonly used techniques for hedging…

Understanding Agricultural Options John Hobert Farm Business Management Program Riverland Community College Why are Agricultural Options Popular? Options are basically easy…

Hedge overview Futures provide additional marketing alternatives Can transfer price risk Can establish approximate price levels in advance of cash market transactions Hedging…

Managing Transaction Exposure 11Chapter South-Western/Thomson Learning © 2006 11 - 2 Chapter Objectives  To identify the commonly used techniques for hedging transaction…

Slide 1Managing Transaction Exposure 11 Chapter Slide 2 11 - 2 Chapter Objectives To identify the commonly used techniques for hedging transaction exposure; To show how each…