FInance Forum Post

I need a 250-word reply to each of the following four post from a finance class (1000 words total):

Forum Post #1

There are some risks involved with international transactions due to fluctuations of the foreign currency exchange rates. One way to mitigate those risks is through hedging. Discuss the hedging options: forward contracts and option contracts. What are the advantages and disadvantages of each alternative? What are the costs of each alternative? When is one alternative preferred over the other?

Forum Post #2

It is generally not possible to completely eliminate both translation exposure and transaction exposure. In some cases, the elimination of one exposure will also eliminate the other. In other cases, the elimination of one exposure actually creates the other. Discuss which exposure might be viewed as the most important to manage. What are the advantages and disadvantages of the common methods for controlling translation exposure?

Forum Post #3

Contrast the structure and function of investment banks, mutual funds, hedge funds, pension funds and insurance companies. Support your discussion with examples from scholarly sources other than the course text, such as reputable news organizations, recognized trade groups, government sources, and the Ashford Online Library. Sources such as Investopedia and Wikipedia will not be accepted.

Forum Post #4

From the reading in Chapter 13 explain the reasons for the structure and function of the Federal Reserve System. What special problems does a central bank have to solve? Should Congress and the president be given greater authority over the Federal Reserve System?