Abstract
Two alternative approaches to the valuation of put and call options on a foreign currency are described. It is interesting that the forward exchange rate plays a key role in the valuation formulas. An example illustrating the use of the options for hedging foreign exchange risks is provided.
| Original language | English |
|---|---|
| Pages (from-to) | 24-28 |
| Journal | Financial Management |
| Volume | 12 |
| Issue number | 1 |
| State | Published - 1983 |