General Studies · International Financial Management
A firm that exports goods to foreign countries on a regular basis can hedge long-term foreign exchange exposure by using which of the following instruments?
- 1Buying swaptions on interest rates
- 2Executing currency swaps or foreign exchange swaps✓
- 3Selling put options on equity futures
- 4Buying stock index options
Correct answer
Executing currency swaps or foreign exchange swaps
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