International Finance — Summer 2022

Define International Finance. Explain the various Opportunities and challenges of International Finance

What is effective Exchange Rate? Explain how it is calculated with the help of hypothetical example?

Critically Explain Bretton Woods System and Exchange Rate Regime

Explain the Concept of Balance of Payments

Explain IRP theory with hypothetical Example

Bank Aquotes NZ $1 = US$ 0.4220 - 0.4225 Bank Bquotes NZ $1 = US$ 0.4226 - 0.4231 What arbitrage opportunity exists? How much profit could be made by US citizen by performing this arbitrage on a principal amount of NZ$ 10,000,000?

Describe the concept and mechanism of forward contract with respect to International financial Market.

Define and Differentiate between currency futures and currency options

Himani Corporation Ltd. an Indian company has an export exposure of 50 lacs yen, value August end. The current spot rate is yen 308 = Rs.100 It is estimated that Yen will depreciate and estimated rate will be, yen 336.88 = Rs.100. Forward rate for August, 2020 Yen 321.24 = Rs.100. Calculate the forward Position of the Company

Explain the Importance of the Currency Derivatives in an International Market

Describe various stages of Foreign Direct Investment

Define and Differentiate between ADR and GDR

Explain Various Sources of International Finance

Explain the Concept of Economic Exposure with Hypothetical Example

Critically Explain the Meaning and Importance of Cross Listing.

Explain various techniques to eliminate the Transaction Exposure in International market.

Explain concept and various methods of Translation Exposure