Abstract

Risk management has been a rising topic of study in the economic literature, as the number of firms using risk management strategies has been increasing in recent decades. This research studies corporate hedging using financial derivative in particular and tests its effects on firm value empirically, before and after the recent financial crisis. Supporting evidence for the positive impact of hedging was found in research but only after certain observations are removed, which reduces the power of the empirical tests.

Advisor

Sell, John

Department

Economics

Disciplines

Economics

Keywords

risk management, corporate hedging, firm value

Publication Date

2012

Degree Granted

Bachelor of Arts

Document Type

Senior Independent Study Thesis

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© Copyright 2012 Duc M. Chu