A foreign exchange hedge (FOREX hedge) is a method used by companies to eliminate or hedge foreign exchange risk resulting from transactions in foreign currencies (see Foreign exchange derivative). This is done using either the cash flow or the fair value method. The accounting rules for this are addressed by both the International Financial Reporting Standards (IFRS) and by the US Generally Accepted Accounting Principles (US GAAP).
Read more about Foreign Exchange Hedge: Foreign Exchange Risk, Hedge, Do Companies Hedge?
Other articles related to "foreign, foreign exchange, exchange, foreign exchange hedge, hedges":
... the consulates of America, Britain, and Japan, looting nearly every foreign property and almost assassinating the Japanese consul ... outlawing private ownership of gold, silver, and foreign exchange, collecting all such precious metals and foreign exchange from the people and issuing the Gold Standard Scrip in exchange ...
... assess the degree of activity in Canadian foreign exchange (FX) hedging ... FX markets, including the eleven members of the Canadian Foreign Exchange Committee (CFEC) ... The majority of institutional and corporate hedges are conducted for terms of less than six months ...
Famous quotes containing the words hedge, foreign and/or exchange:
“Though bachelors be the strongest stakes, married men are the best binders, in the hedge of the commonwealth.”
—Thomas Fuller (1608–1661)
“For most visitors to Manhattan, both foreign and domestic, New York is the Shrine of the Good Time. “I don’t see how you stand it,” they often say to the native New Yorker who has been sitting up past his bedtime for a week in an attempt to tire his guest out. “It’s all right for a week or so, but give me the little old home town when it comes to living.” And, under his breath, the New Yorker endorses the transfer and wonders himself how he stands it.”
—Robert Benchley (1889–1945)
“If mass communications blend together harmoniously, and often unnoticeably, art, politics, religion, and philosophy with commercials, they bring these realms of culture to their common denominator—the commodity form. The music of the soul is also the music of salesmanship. Exchange value, not truth value, counts.”
—Herbert Marcuse (1898–1979)