Foreign currency exchange rates and mutual fund cash flows

2010 ◽  
Vol 11 (5) ◽  
pp. 314-320 ◽  
Author(s):  
John C Adams ◽  
F Reid Hartsfield
Keyword(s):  
Exchange Rates ◽  
Mutual Fund ◽  
Foreign Currency ◽  
Cash Flows ◽  
Currency Exchange ◽  
Currency Exchange Rates

The Effect of Mandated Market Risk Disclosures on Trading Volume Sensitivity to Interest Rate, Exchange Rate, and Commodity Price Movements

2002 ◽  
Vol 77 (2) ◽  
pp. 343-377 ◽  
Author(s):  
Thomas J. Linsmeier ◽  
Daniel B. Thornton ◽  
Mohan Venkatachalam ◽  
Michael Welker
Keyword(s):  
Exchange Rates ◽  
Interest Rates ◽  
Trading Volume ◽  
Foreign Currency ◽  
Market Risk ◽  
Currency Exchange ◽  
Currency Exchange Rates ◽  
Volume Sensitivity ◽  
Market Risk Disclosures ◽  
Risk Disclosures

We hypothesize that firms' 10-K market risk disclosures, recently mandated by SEC Financial Reporting Release No. 48 (FRR No. 48), reduce investors' uncertainty and diversity of opinion about the implications, for firm value, of changes in interest rates, foreign currency exchange rates, and commodity prices. We argue that this reduced uncertainty and diversity of opinion should dampen trading volume sensitivity to changes in these underlying market rates or prices. Consistent with this hypothesis, we find that after firms disclose FRR No. 48-mandated information about their exposures to interest rates, foreign currency exchange rates, and energy prices, trading volume sensitivity to changes in these underlying market rates and prices declines, even after controlling for other factors associated with trading volume. The observed declines in trading volume sensitivity are consistent with FRR No. 48 market risk disclosures providing useful information to investors.

Sparseness and Roughness of Foreign Exchange Rates

1998 ◽  
Vol 09 (05) ◽  
pp. 711-719 ◽  
Author(s):  
N. Vandewalle ◽  
M. Ausloos
Keyword(s):  
Phase Diagram ◽  
Brownian Motion ◽  
Exchange Rates ◽  
Foreign Currency ◽  
Foreign Exchange Rates ◽  
Wide Region ◽  
Currency Exchange ◽  
Currency Exchange Rates ◽  
Roughness Exponent ◽  
Component C

An accurate multiaffine analysis of 23 foreign currency exchange rates has been performed. The roughness exponent H1 which characterizes the excursion of the exchange rate has been numerically measured. The degree of intermittency C1 has been also estimated. In the (H1,C1) phase diagram, the currency exchange rates are dispersed in a wide region around the Brownian motion value (H1=0.5,C1=0) and have a significantly intermittent component (C1≠0).

scholarly journals A proposed method for applying hedge accounting for foreign currency fluctuation risks on accordance international financial reporting standards and their reflection on accounting information quality in the Iraqi environment Abstract

2018 ◽  
Vol 24 (109) ◽  
pp. 545
Author(s):  
عامر محمد سلمان ◽  
محمد جاسم محمد
Keyword(s):  
Exchange Rates ◽  
Financial Reporting ◽  
Information Quality ◽  
Foreign Currency ◽  
Local Environment ◽  
Reporting Standards ◽  
Financial Reporting Standards ◽  
Currency Exchange ◽  
Hedge Accounting ◽  
Currency Exchange Rates

The aim of this study is to clarify the concept of hedge accounting, foreign currency transactions and the problems arising from dealing with them, and to highlight the local and international accounting rules related to hedge accounting to reduce the risks of fluctuations in the currency exchange rates of the units by developing the financial reporting of local units in accordance with international reporting standards To achieve this objective, a sample of Iraqi units was selected to be exposed to the risks of fluctuations in foreign exchange rates, The study reached a number of conclusions, the most important of which are: Many companies and banks in the local environment a lot of losses due to fluctuations in the exchange rates of foreign currency. Hedge accounting is a mechanism to avoid the risks faced by the unit through the use of financial instruments of derivatives, the study recommended that: The Iraqi units should use hedge accounting to address the risks faced by the unit The financial reporting in the Iraqi environment shall be based on IFRS by providing information on the risks and methods of hedging the risks that the unit may face and assisting the decision maker in making informed decisions.

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