Finance theory does not provide a comprehensive framework for explaining risk management within the imperfect financial … corporate hedging: equity value maximising strategies and strategies determined by managerial risk aversion. The first category … distress and costs of external finance or to replace home-made hedging by shareholders. The second category considers that …

additional delivery risk on hedgers. This paper derives the optimal production and futures hedging strategy for a risk …

currency hedging strategies, for a series of 7 models,using Bayesian inference and decision analysis. The models differ in the … comparethe hedging decisions and financial returns and utilities as they result from the modellingassumptions and the attitudes …

This paper studies the impact of counter-party default risk of forward contracts on a firm's production and hedging …

Using a two-moment decision model this paper analyzes corporate hedging behavior in the presence of unified and …, therefore, the incentive for hedging reduces. We demonstrate that pure hedging is differently affected by taxation than … speculative hedging is. Analysing tax-sensitivity of the corporate hedge shows that a higher risk in the first place may reduce …

. We find that, depending on whether futures contracts are used for risk reduction (i.e., hedging) or risk taking (i …

uncertainty and hedging opportunities. Market transparency is modeled by means of the informational content of publicly observable …

of these instruments in the competition between banking firms. We use a duopolistic version of the industrial … organization approach to banking to find out that credit derivatives may influence banking competition. For this result to hold …

hedging strategy are derived and discussed. It is shown that hedging increases the investor's wellbeing in terms of …