Ramlall, Indranarain - In: The IUP Journal of Financial Economics VIII (2010) 1 & 2, pp. 67-81
This paper undertakes a review of the reasons as to why firms hedge. Basically, the empirical literature pertaining to hedging is split into three main parts. The first part of the literature underscores the strong incentives for shareholders to hedge by virtue of three main forces which...