COURSEWORK QUESTION:

There are four different commonly used financial hedging techniques and some operational hedging techniques that firms use to manage currency risk.

1) Drawing on literature, critically evaluate all relevant hedging techniques used by large firms. Illustrate your arguments with appropriate examples / cases / empirical studies review.
(35 marks)

2) Drawing on literature, critically evaluate all relevant hedging techniques used by small firms. Illustrate your arguments with appropriate examples / cases / empirical studies review.
(35 marks)

3) Compare the similarities and differences of the use of these hedging techniques by large and small firms.
(30 marks)