THE HEDGING PRACTICE OF TAIWAN SMALL TO MEDIUM-SIZED ENTERPRISE-THE CASE OF A COMPANY
| Autor: | LIN, SAN-YU, 林山玉 |
|---|---|
| Rok vydání: | 2018 |
| Druh dokumentu: | 學位論文 ; thesis |
| Popis: | 106 Small and medium enterprises in Taiwan rely heavily on import and export trading. Changes in exchange rates have a huge impact on the profitability of the company. For SMEs, the volatility of exchange rates will make the company's into great financial risk. This study uses a case analysis to explore the profit and loss caused by case company’s SWAP hedging policy. The results show that SWAP holders do not necessarily sell U.S. dollar at the spot exchange rate, and can wait for favorable exchange rate. A company also could use the US dollar and then conduct another SWAP Contract transactions. This hedging strategy can provide small and medium-sized enterprises with higher financial flexibility and do not have to be forced to sell foreign exchange when the market exchange rate is not favorable. |
| Databáze: | Networked Digital Library of Theses & Dissertations |
| Externí odkaz: |
|