Jeevanandam dedicates significant attention to both internal and external hedging techniques.
The Forex market is the largest and most liquid financial market in the world, operating 24 hours a day. Jeevanandam emphasizes that participants include central banks, commercial banks, multinational corporations, hedge funds, and individual traders. Exchange rates are determined by a mix of fundamental factors (interest rates, inflation, trade balances) and market sentiment.
Key concepts from the book include:
Jeevanandam meticulously covers the interbank market, retail market, and the role of authorized dealers. Key concepts include:
Focus on Risk Management (The Core): A standout feature is the dedicated focus on identifying and managing risk. It breaks down: Focus on Risk Management (The Core): A standout
Regulatory Framework (FEMA): Given the context of Indian finance education, the book provides an in-depth analysis of FEMA (Foreign Exchange Management Act). It explains the legal framework governing forex transactions in India, which is crucial for compliance and practical application.
Derivatives and Hedging Techniques: It offers practical explanations of financial derivatives. It does not just define them but explains how to use them for hedging, including: Regulatory Framework (FEMA): Given the context of Indian
Pedagogical Aids:
Published primarily for students of commerce, MBA (Finance), and professional courses like CA, CMA, CS, and banking examinations, C. Jeevanandam’s text stands out for several reasons: Published primarily for students of commerce