English Abstract: An underdeveloped financial system is one of the basic limitations for foreign exchange (FX) hedging … hedging - natural hedging. However, according to official data from the National Bank of Serbia, companies use currency … derivatives with a very small total value. To gain a more complete insight into the organization and process of FX hedging in …

rates. To manage foreign exchange risk companies can use financial hedging, which involves taking a position in a currency … accounting on financial hedging …

practice. The aim of the paper is to point out the possibilities and approaches for hedging foreign exchange risk using … currency forwards, as well as the procedure and importance of assessing hedging ratio in the context of optimizing the effects … of hedging with currency forwards. Paper shows that currency forwards can be negotiated to allow elimination of the …