26

Hedging Strategies with Variable Purchase Options

Manuel Moreno and Javier F. Navas∗∗

University of Castilla La-Mancha

∗∗Pablo de Olavide University

Chapter Outline

26.1 Introduction

Nowadays, many firms have difficulties obtaining the funds needed for their investment projects and their operations. Internally generated funds have decreased because of the economic crisis and lower growth rates. At the same time, external financing sources have become scarce. ...

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