Forex hedging

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Dear All

Please let me know what is forex hedging?

Replies (3)

In very simple words it means protection from foreign exchange risk. Mainly importer and exporter have to face the foreign exchange risk, so using some of the hedging tools (forward contract, fwd option etc) is forex hedging.

This answer is for some general understanding only

Sir could you pls provide me notes on it?

YOU CAN SEARCH IN THE FILE SECTION. I WILL ALSO ATTACH IF I FIND SOME USEFUL NOTES ABOUT THE TOPIC


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