Managing Global Financial and Foreign Exchange Rate Risk / Wiley Finance Editions (PDF)

A comprehensive guide to managing global financial risk

From the balance of payment exposure to foreign exchange and
interest rate risk, to credit derivatives and other exotic options,
futures, and swaps for mitigating and transferring risk, this book
provides a simple yet comprehensive analysis of complex derivatives
pricing and their application in risk management. The risk posed by
foreign exchange transactions stems from the volatility of the
exchange rate, the volatility of the interest rates, and factors
unique to individual companies which are interrelated. To protect
and hedge against adverse currency and interest rate changes,
multinational corporations need to take concrete steps for
mitigating these risks.

Managing Global Financial and Foreign Exchange Rate Risk
offers a thorough treatment of price, foreign currency, and
interest rate risk management practices of multinational
corporations in a dynamic global economy. It lays out the pros and
cons of various hedging instruments, as well as the economic cost
benefit analysis of alternative hedging vehicles. Written in a
detailed yet user-friendly manner, this resource provides
treasurers and other financial managers with the tools they need to
manage their various exposures to credit, price, and foreign
exchange risk.

Managing Global Financial and Foreign Exchange Rate Risk
covers various swaps in this geometrically growing field with
notional principal in excess of $120 trillion. From caplet and
corridors to call and put swaptions this book covers the micro
structure of the swaps, options, futures, and foreign exchange
markets. From credit default swap and transfer and convertibility
options to asset swap switch and weather derivatives this book
illustrates their simple pricing and application. To show
real-world examples, each chapter includes a case study
highlighting a specific problem, as well as a set of steps to solve
it. Numerous charts accompanied with actual Wall Street figures
provide the reader with the opportunity to comprehend and
appreciate the role and function of derivatives, which are often
misunderstood in the financial market.

This detailed resource will guide the individual, government and
multinational corporations safely through the maze of various
exposures. A must-read for treasures, controllers, money mangers,
portfolio managers, security analyst and academics, Managing
Global Financial and Foreign Exchange Rate Risk represents an
important collection of up-to-date risk management solutions.

Ghassem A. Homaifar is a professor of financial economics
at Middle Tennessee State University. He has Master of Science in
Industrial Management from State University of New York at Stony
Brook and PhD in Finance from University of Alabama in 1982. He is
the author of numerous articles that have appeared in the
Journal of Risk and Insurance, Journal of Business
Finance and Accounting, Weltwirtschsftliches Archiv Review
of World Economics, Advances in Futures and Options
Research,Applied Financial Economics, Applied
Economics, International Economics, and Global
Finance Journal.