Hutson, Elaine; Laing, Elaine - In: Journal of Banking & Finance 43 (2014) C, pp. 97-113
We examine the relation between firms’ foreign exchange exposure and the extent of their multinationality as a proxy for operational hedging. Using a sample of 953 US firms over the period 1999–2006, we show that there is a nonlinear relation between operational and financial hedging,...