Using Derivatives: What Senior Managers Must Know
The use of derivatives--a broad term referring to such diverse instruments as futures, swaps, and options--has become increasingly popular in recent years as corporations look for new and better ways to manage risk. The high-profile losses of Procter & Gamble, Metallgesellschaft, and other c...
| Main Authors: | , , , |
|---|---|
| Format: | Journal article |
| Published: |
1995
|
| _version_ | 1797084344970379264 |
|---|---|
| author | Weinberger, D Tufano, P Francis, C Sodhani, A |
| author_facet | Weinberger, D Tufano, P Francis, C Sodhani, A |
| author_sort | Weinberger, D |
| collection | OXFORD |
| description | The use of derivatives--a broad term referring to such diverse instruments as futures, swaps, and options--has become increasingly popular in recent years as corporations look for new and better ways to manage risk. The high-profile losses of Procter & Gamble, Metallgesellschaft, and other companies are sending an important signal to senior managers: financial decisions that were previously designed and implemented by specialists need to be monitored more closely from the very top of organizations. In "A Framework for Risk Management" (November-December 1994), Kenneth A. Froot, David S. Scharfstein, and Jeremy C. Stein present a guide for helping managers develop a coherent risk-management strategy. This issue's Perspectives section opens up the discussion on derivatives to a group of experts. "For a company to manage its exposures effectively, it must first know that it has them." - Cheryl Francis, FMC Corporation. "Derivatives are simply the building blocks of financial instruments--and whether they are destructive or beneficial depends on context." - Arvind Sodhani, Intel Corporation. "Derivative instruments are no more than tactical tools--albeit very valuable ones--for implementing risk-management strategies." - David B. Weinberger, Swiss Bank Corporation. |
| first_indexed | 2024-03-07T01:54:11Z |
| format | Journal article |
| id | oxford-uuid:9b2834ea-1ecc-4b23-8438-6d859832e232 |
| institution | University of Oxford |
| last_indexed | 2024-03-07T01:54:11Z |
| publishDate | 1995 |
| record_format | dspace |
| spelling | oxford-uuid:9b2834ea-1ecc-4b23-8438-6d859832e2322022-03-27T00:26:42ZUsing Derivatives: What Senior Managers Must KnowJournal articlehttp://purl.org/coar/resource_type/c_dcae04bcuuid:9b2834ea-1ecc-4b23-8438-6d859832e232Saïd Business School - Eureka1995Weinberger, DTufano, PFrancis, CSodhani, AThe use of derivatives--a broad term referring to such diverse instruments as futures, swaps, and options--has become increasingly popular in recent years as corporations look for new and better ways to manage risk. The high-profile losses of Procter & Gamble, Metallgesellschaft, and other companies are sending an important signal to senior managers: financial decisions that were previously designed and implemented by specialists need to be monitored more closely from the very top of organizations. In "A Framework for Risk Management" (November-December 1994), Kenneth A. Froot, David S. Scharfstein, and Jeremy C. Stein present a guide for helping managers develop a coherent risk-management strategy. This issue's Perspectives section opens up the discussion on derivatives to a group of experts. "For a company to manage its exposures effectively, it must first know that it has them." - Cheryl Francis, FMC Corporation. "Derivatives are simply the building blocks of financial instruments--and whether they are destructive or beneficial depends on context." - Arvind Sodhani, Intel Corporation. "Derivative instruments are no more than tactical tools--albeit very valuable ones--for implementing risk-management strategies." - David B. Weinberger, Swiss Bank Corporation. |
| spellingShingle | Weinberger, D Tufano, P Francis, C Sodhani, A Using Derivatives: What Senior Managers Must Know |
| title | Using Derivatives: What Senior Managers Must Know |
| title_full | Using Derivatives: What Senior Managers Must Know |
| title_fullStr | Using Derivatives: What Senior Managers Must Know |
| title_full_unstemmed | Using Derivatives: What Senior Managers Must Know |
| title_short | Using Derivatives: What Senior Managers Must Know |
| title_sort | using derivatives what senior managers must know |
| work_keys_str_mv | AT weinbergerd usingderivativeswhatseniormanagersmustknow AT tufanop usingderivativeswhatseniormanagersmustknow AT francisc usingderivativeswhatseniormanagersmustknow AT sodhania usingderivativeswhatseniormanagersmustknow |