TY  - GEN
T1  - On the determinants of speculation : a case for extendeddisclosures in corporate risk management1
A1  - Hecht,Andreas
Y1  - 2017/07/27
N2  - We examine the determinants of corporate speculation and challenge the
extant, conflicting evidence. Separating risk management (reducing
currency-specific FX exposure) from speculation (increasing or holding
currency-specific FX exposure constant), we provide unprecedented
evidence that speculators are smaller, have more growth opportunities and
possess lower internal resources than risk-managing firms. The refined
granularity of our dataset stems from a unique regulatory environment,
where a regulating authority recommends additional disclosures for FX risk
management in excess of governing accounting standards. Our findings
enable investors, henceforth, to identify speculation from public available
sources, where our results substantiate the significance of such an extended
reporting. Thus, this case of optional disclosures might serve as blueprint
for further regulatory refinements in other settings.
KW  - Fremdwährung
KW  - Risikomanagement
KW  - Hedging
KW  - Spekulation
CY  - Hohenheim
PB  - Kommunikations-, Informations- und Medienzentrum der Universität Hohenheim
AD  - Garbenstr. 15, 70593 Stuttgart
UR  - http://opus.uni-hohenheim.de/volltexte/2017/1387
ER  -