How does the company use derivatives as a means to manage risk and enhance returns
Derivatives
Use the Internet to select and research an existing company for this discussion. Be sure to choose a real company because your research may involve finding and reading company reports.
Focus your discussion on the following:
- How does the company use derivatives as a means to manage risk and enhance returns?
Be sure to discuss how the following can be used to manage the risk of the selected company:
- Options
- Forwards
- Futures
Solution Preview
Derivatives are necessary for any business organization as they can help to reduce the uncertainty of undesirable occurrences by changing financial implications that could face organizations as a result of volatility in the market prices, currencies or cost of operation………………………..
APA
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