Select FOUR companies listed on the UK Stock Exchange. Chose two companies from one industry sector and
Question:
Select FOUR companies listed on the UK Stock Exchange. Chose two companies from one industry sector and two other companies from another industry sector.
By using the most recent three years' relevant information for each of the 4 companies' (such as annual reports, company's websites, and other reliable resources):
a) Compare and discuss the foreign currency risk faced by each company based on three exposures.
Assignment Brief Template
[30 Marks]
b) Detect and describe the tools or methods used by the companies to manage the above exposures and compare the different hedging techniques used by these four companies. (i.e. financial and operating hedge)
[30 marks]
c) If you were an external consultant of one of these 4 companies, which changes in the hedging strategy you would suggest to CEO of the company? However, if you are confirming to the CEO that their company hedging strategy is efficient explain the reasons why you reached to this final conclusion.
[20 marks]
d) Review academic literature from the past twenty years to critically evaluate and discuss hedging techniques adding value to firms or not
e) Use appropriate academic language, report style and Harvard references and citation style.
Expert Answer:
Answer a Comparison of Foreign Currency Risk Faced by the Four Companies Company 1 Industry Sector 1 ... View the full answer
