Finance case study – hedging currency risks at aifs


FIN 417

 

HBS Case: Hedging Circulation Risks at AIFS

 

 

Where to get the case: Hedging Circulation Risks at AIFS, Harvard Business School Case, #9-205-026, 2007. This condition can be ordered quickly from https://cb.hbsp.harvard.edu/cbmp/access/17082330. Online download price: $3.95.

 

Instructions: This condition should be performed partially. You should arrange a written resolution, and influence in two copies of your reelucidation on April 23 in rank. Only forced copies of the condition reelucidation are original. I procure belong one of the copies to the Dean’s appointment for duty view. Each student should so convey his/her own delineation of the write-up to rank, as polite as the condition itself, so that we can belong to the specifics in our discourse. The quotation reelucidation of your condition should be about 3-5 pages (double-spaced).  You should download the yield spreadsheet for the condition at the Blackboard, thorough the promotive reelucidation using the spreadsheet, and append the spreadsheet to your condition write-up to patronage your discussions.

 

Your write-up should initiate delay an hole stipulation that defines the deep height in the condition and your recommended elucidation. The remnant of your brochure should patronage your omission and recommendations. This patronage should be naturalized on your determination of the height and inferences that you sketch from the grounds of the condition. Structure is significant for your discussion to be resplendent and limpid.

 

The grading procure be naturalized on the tendency of your reelucidation and adaptation. Points procure be deducted for language mistakes and typos.

 

Your condition should oration the aftercited questions:

 

1.      What gives loosen to the circulation pitfall at AIFS?

 

2.      What would betide if Archer-Lock and Tabaczynski did not hedge at all?

 

3.      What would betide delay a 100% hedge delay ahead? A 100% hedge delay options? Use the intercept developed sales compass of 25,000 and excite the practicable outcomes not-absolute to the "zero impact" scenario forcible in the condition.

 

4.      What betides if sales compasss are inferior or loftier than expected as outlined at the end of the condition?

 

 

5.      What hedging sentence would you propagator?