Which of the following is NOT an example of how a company could hedge to reduce currency risk?

Question

Quizplus · Accepted Answer

Fixed peg arrangements are not a hedging instrument but rather a method of maintaining a country's exchange rate against another currency, typically through central bank intervention. The other options, buying futures contracts, buying options, and currency swaps, are all examples of hedging methods used by companies to reduce currency risk.

Which of the Following Is NOT an Example of How