Treasury risks Hedging Derivatives Currency risks Commodity risks Inflation swaps

In an inflationary world like we have been experiencing the last 12 to 18 months, companies are constantly confronted with exponentially rising costs. They can react in a more traditional way, for example by increasing stock or by negotiating fixed prices with their providers. However, these solutions are not always easy to get. Furthermore, the counterparty risk has also deteriorated a lot the last few months. In this article we highlight some examples of financial derivative products that can help companies in (partly) managing the volatility caused by the inflationary pressure. We focus on currency- and commodity-risk products and on inflation-swaps as examples of products that can be used for this risk management. Companies should at least contemplate the use of such products to cushion some of the inflationary pressures that surround them.

Auteurs

Jaspers

Herwig Jaspers

Gerelateerde documenten

Bfw digitaal editie10 2022 04 artikel jaspers