This paper investigates corporate hedging under regret aversion. Regret-averse firms try to avoid deviations of their … hedging policy from the ex post best policy, an intuitive consideration if one has to justify one's decisions afterward. The … derivatives. It characterizes optimal hedge positions and shows that regret aversion leads to stronger incentives to hedge …

which the risk management and hedging needs of investors may be effectively met through the derivative instruments. However …. And yet, more and more companies are using(or being forced to use) futures and derivatives to stay competitive in a fast …

use of foreign currency hedging derivatives or through offsetting foreign currency asset and liability positions. Even … before taking into account the use of hedging derivatives, Australian entities as a whole have a net foreign currency asset … position with the rest of the world. After accounting for hedging derivatives, this overall net foreign currency asset position …

stakeholder groups’ interests. A study of the use of hedging instruments in 161 Polish non-financial listed companies is then … determine relationships between the hedging decision and financial standing of companies. However, company size is proved to be … the only significant factor for a hedging decision. The implications of these findings and new research questions are …

investigated derivatives usage for risk management purposes in the US (see, among others, Bodnar, Hayt, Marston and Smithson, 1995 … tend to rely on OTC-transactions, US firms use exchange-traded derivatives and therefore require a higher counter party … rating for derivatives transactions. This distinction can be accredited to the differences in the financial environments …

This paper examines the impact of the strength of governance on firms' use of currency derivatives. Using a sample of … firms from 30 countries over the period 1990 to 1999, we find that strongly governed firms tend to use derivatives to hedge … currency exposure and overcome costly external financing. On the other hand, weakly governed firms appear to use derivatives …

both size and industry composition. We find that German firms are more likely to use derivatives than US firms, with 78% of … German firms using derivatives compared to 57% of US firms. Aside from this higher overall usage, the general pattern of … derivative usage is most common, followed closely by interest rate derivatives, with commodity derivatives a distant third. Usage …