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The collapse of Lehman Brothers illustrated the importance of managing prime broker counterparty risks for hedge funds. Liquidity shocks to prime brokers can lead to cycles of deleveraging that produce losses at funds and potentially have harmful effects on financial market function and credit...
Persistent link: https://www.econbiz.de/10012860614
The collapse of Lehman Brothers illustrated the importance of managing prime broker counterparty risks for hedge funds. Liquidity shocks to prime brokers can lead to cycles of deleveraging that produce losses at funds and potentially have harmful effects on financial market function and credit...
Persistent link: https://www.econbiz.de/10012852681
hedging in the presence of demand uncertainty. In this situation, we find that the integrated model can result in better …In this paper, we present a multi-stage stochastic programming model that integrates financial hedging decisions into … particular, we show that, in the illustrative example, the exchange-rate uncertainty cannot be completely eliminated by financial …
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