Metallgesellschaft: a prudent hedger ruined, or a wildcatter on NYMEX?

Article Abstract:

The barrel-for-barrel hedge strategy of the firm Metallgesselschaft (MG) exposes the firm to more economic risks and losses due to the fall in volatilities and the imperfect correlation between spot and deferred prices. The higher risk that the strategy puts on MG's futures also steepens the firm's oil price term structure, which occurred after the strategy's implementation. The most relevant factor, however, in using the variance- minimizing hedges is the superior possession of information, but MG does not seem to have this capacity.

Asset & Risk Management, Methods, Models, Evaluation, Risk management, Hedging (Finance), Financial futures

---

New evidence on the forward unbiasedness hypothesis in the foreign-exchange market

Article Abstract:

Results of regression analysis, which is used to examine foreign exchange rate predictions, are presented.

United Kingdom, Forecasts, trends, outlooks, Analysis, Usage, Forecasts and trends, Options (Finance), Foreign exchange, Foreign exchange rates, Market trend/market analysis, Regression analysis

---

Similar abstracts:

• Abstracts: Apple Computer posts an 18 percent drop in profit for its fiscal fourth quarter
• Abstracts: Project management: are employees trained to work in project teams? Learning project management outside the classroom: the internship
• Abstracts: Medical self-defense. All for one, one for all
• Abstracts: Sweeney elected AFL-CIO president. Velasquez elected interim president
• Abstracts: When the DIPP dips: a P & L index for project decisions. NASA Project Management: modern strategies for maximizing project performance

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.