Managerial Finance: Volume 21 Issue 4

Risk Management in Global Finance

James C. Baker

This special issue is devoted to a discussion of some major risks facing multinational companies (MNCs) in the operation of their global business. Multinational business is…

A Model for the Evaluation of and Response to Economic Exposure Risk by Multinational Companies

Sharif N. Ahkam

While economic exposure is an important issue for the management of a multinational financial system, few models have been developed to measure this risk. The major challenge to…

Global Foreign Investment Insurance The Case of MIGA with Comparisons to OPIC and Private Insurance

James C. Baker

The World Bank established the Multilateral Investment Guarantee Agency (MIGA) in 1985 as the first truly global agency which insures foreign investments against political risks…

A Comparison of the Effectiveness of Currency Futures and Currency Options in the Context of Foreign Exchange Risk Management

Andrea L. DeMaskey

Exposure risk managers can hedge exchange rate risk with either currency futures or currency options. It is generally suggested that hedgers should choose a hedge instrument that…

Protection in a Changing and Volatile World A Study of Political Risk Insurance Providers

M. Anaam Hashmi

A widely used strategy to cope with the dangers of foreign investment by hedging against potential losses is political risk insurance. All multinational corporations are subject…

Bulgaria: Privatization, Risk and Reality

David L. Rayome, John A. Stocker

Bulgaria is one of the Eastern European countries attempting to convert from a Central Planned Economy to a free market capitalistic one. Numerous problems have arisen that have…