Managing Derivative Risks: The Use and Abuse of Leverage - Hardcover

Chew, Lillian

Hardcover

ISBN 10: 0471956228 ISBN 13: 9780471956228

Verlag: John Wiley & Sons, 1996

Inhaltsangabe

The collapse of Barings Bank is the latest in a long line of financial disasters which have been blamed on derivatives. Promoters of these instruments argue that they provide a useful service, helping to manage risk in an increasingly volatile market. Misuse has occurred through a combination of greed, a lack of understanding of their unique risk and the failure of management to control those who have to deal in them. This guide explains in simple, non-technical terms the benefits and risks of derivatives. Through extensive discussion of recent high-profile losses, it demonstrates how derivatives have been misused and shares proven strategies for their successful management.

Über diesen Titel

Über die Autorin bzw. den Autor

Lilian Chew is a former editor of Risk Magazine, the leading international magazine for the derivatives industry. She has also been editor of Euromoney Corporate Finance, and worked as a dealer for the Monetary Authority of Singapore. She currently freelances for a variety of leading finance magazines.

Von der hinteren Coverseite

Managing Derivative Risks The Use and Abuse of Leverage Lillian Chew When Barings, the oldest merchant bank in the United Kingdom, collapsed it joined the long list of financial disasters that have involved derivatives. Procter & Gamble, Metallgesellschaft and Orange County have all fallen famously foul of these instruments. But are they really so dangerous? Promoters of derivatives rightly argue that they provide a service, helping to manage risk in increasingly volatile markets. Where large losses have occurred, it is because derivatives have been misused through greed, a lack of understanding of their risks and the failure of management to control properly those who deal in them, or all three. This book cuts through the hysteria and hype and explains in non–technical terms the unique risks of derivatives. These risks are discussed using actual examples, particularly the high–profile cases of the early 1990s. Managing Derivative Risks also discusses topical issues such as Value at Risk and the latest Bank for International Settlements capital requirements for market risk. It will prove a valuable source of information for finance directors, treasurers, institutional investors, fund managers, bankers, regulators, and anyone who sits on a corporate board.

Aus dem Klappentext

Managing Derivative Risks uses familiar analogies to explain the complex risks of derivatives, and how to manage them. Derivatives are sold to consumers as risk-management tools, but they bring their own risks. This point seems to be ignored by some end users, blinded as they are by the brilliance of a structure that promises them something for nothing. At the other end of the spectrum are those who doggedly refuse to see the virtues of such instruments and thus deprive their shareholders of the demonstrable benefits of such tools. Managing Derivative Risks seeks to help both groups understand the risks and rewards of instruments which will shape finance in the coming millennium.

Details zur Ausgabe

• Verlag: John Wiley & Sons
• Erscheinungsdatum: 1996
• Sprache: Englisch
• ISBN 10: 0471956228
• ISBN 13: 9780471956228
• Einband: Gebundene Ausgabe
• Anzahl der Seiten: 314
• Kontakt zum Hersteller: Nicht verfügbar
• Verantwortliche Person: Nicht verfügbar