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Transaction Exposure

In: The Economics of Foreign Exchange and Global Finance

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  • Peijie Wang

    (Plymouth University)

Abstract

Transaction exposure arises from the possibility of incurring exchange gains or losses on transactions already entered into which is denominated in a foreign currency. Management of transaction exposure is to control and reduce the risk of exchange rate fluctuations involved in these contractual transactions.

Suggested Citation

  • Peijie Wang, 2020. "Transaction Exposure," Springer Texts in Business and Economics, in: The Economics of Foreign Exchange and Global Finance, edition 3, chapter 16, pages 387-400, Springer.
    • Handle: RePEc:spr:sptchp:978-3-662-59271-7_16
    DOI: 10.1007/978-3-662-59271-7_16
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