hedging Archives - CFO

More Companies Are Opting for Hedge Accounting

Risk Management

More Companies Are Opting for Hedge Accounting

The new hedge accounting standard, designed in part to make hedge accounting more accessible to more companies, is making its mark.

By David McCann | February 6, 2020

Making Hedging Strategies Work: It Takes a Committee

Risk Management

Making Hedging Strategies Work: It Takes a Committee

Hedging makes good risk-management sense — if properly overseen.

By William Watts and Chad Zagar | October 13, 2016

Delta Reports $450 Million Loss on Fuel Hedge

Risk Management

Delta Reports $450 Million Loss on Fuel Hedge

The airline's latest hedging loss highlights the riskiness of the practice with fuel costs still below historical norms.

By Christopher Hosford | July 6, 2016

Businesses Satisfied (But Not Content) with Transaction Bankers

Equipment Financing

Businesses Satisfied (But Not Content) with Transaction Bankers

Twenty-three percent of finance executives are renegotiating banking contracts and 25% are actively seeking new banking partners, says AFP.

By Vincent Ryan | October 7, 2015

What CFOs Should Know About Foreign Exchange Risks

Financial Performance

What CFOs Should Know About Foreign Exchange Risks

Understanding foreign exchange risk in the context of enterprise risk management enables finance chiefs to avoid overhedging their forex risks.

By Kristina Narvaez | May 21, 2015

Currency Surprises Hammer Earnings

Currency Surprises Hammer Earnings

A strong U.S. dollar and other currency swings are revealing companies' shortcomings in the area of identifying and quantifying foreign-exchange exposures.

By Katie Kuehner-Hebert | March 17, 2015

SEC Rule Targets Officers That Hedge Company Shares

Risk & Compliance

SEC Rule Targets Officers That Hedge Company Shares

A proposed rule requires disclosure of whether officers, directors and employees are allowed to hedge a price drop in their shareholdings.

By Vincent Ryan | February 9, 2015

Are Bankers Overcharging for FX Transactions?

Global Business

Are Bankers Overcharging for FX Transactions?

The Justice Department is investigating sales practices of foreign-exchange banks as part of a wider probe into FX market rigging.

By Vincent Ryan | June 23, 2014

The Hidden Cost of International Payments

The Hidden Cost of International Payments

U.S. businesses have two big misconceptions about international trade: that paying in U.S. dollars is optimal, and that trying to time foreign-currency transactions is a no-no.

By Randy Ingargiola | September 6, 2012

The Hedge That Wasn’t

Risk Management

The Hedge That Wasn’t

JPMorgan Chase’s $2 billion trading miscue is a costly lesson in how not to protect against potential losses.

By Vincent Ryan | August 1, 2012

Can You ‘Day Trade’ Talent to Hedge Risk?

Risk Management

Can You ‘Day Trade’ Talent to Hedge Risk?

If you believe in the concept of using investment diversification as a hedge, think about using different talent scenarios to hedge against future business outcomes.

By John Boudreau | June 25, 2012

JP Morgan Hedge Exposed the Bank to More Risk

Risk Management

JP Morgan Hedge Exposed the Bank to More Risk

The banking giant’s experience with a $2 billion trading miscue provides a lesson in how not to protect against potential losses.

By Vincent Ryan | May 16, 2012

Slippery Slope

Monte Carlo simulations can guide your hedging strategy.

By Vincent Ryan | March 1, 2012

Is It Time to Hedge Against Oil Hikes?

Is It Time to Hedge Against Oil Hikes?

Instead of trying to forecast movements in benchmark crude, CFOs can use a Monte Carlo simulation to gauge the probability of oil hitting certain price points.

By Vincent Ryan | February 16, 2012