Research ArticleOpen AccessGoogle Scholar indexed
The Hidden Risk Factor
Record Currency Management, Windsor, UK
Record Currency Management, Windsor, UK
Record Currency Management, Windsor, UK
- 1 Record Currency Management, Windsor, UK
- 2 Record Currency Management, Windsor, UK
- 3 Record Currency Management, Windsor, UK
Journal of Mathematical Finance·Volume 03 (2013)·Pages 21–26·Published 8 October 2013·DOI10.4236/jmf.2013.33A003
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Abstract
To achieve maximum returns consistent with an investor’s appetite for risk, the correct identification and estimation of all relevant risk factors in a portfolio are necessary. In this paper, we identify the role of foreign currency as an impor tant risk factor from an international investor’s point of view.
KeywordsCurrency RiskRisk PremiumRisk FactorFX HedgeCurrency Overlay
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