Static Single Country Hedging Models

Anna Nagurney and Stavros Siokos
Additional contact information
Anna Nagurney: University of Massachusetts
Stavros Siokos: University of Massachusetts

Chapter 7 in Financial Networks, 1997, pp 176-217 from Springer

Abstract: Abstract In this chapter we develop extensions of the models in Chapter 6 by allowing the inclusion of hedged financial instruments in addition to the unhedged instruments. We recall that hedging refers to any type of strategy whose primary goal is to offset any investment risk. A perfect hedge reflects the elimination of the possibility of any gains or losses. Obviously, it is difficult, if not impossible, to accomplish perfect hedging.

Keywords: Utility Function; Variational Inequality; Variational Inequality Problem; Shadow Price; Future Contract (search for similar items in EconPapers)
Date: 1997
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:adspcp:978-3-642-59066-5_7

Ordering information: This item can be ordered from
http://www.springer.com/9783642590665

DOI: 10.1007/978-3-642-59066-5_7

Access Statistics for this chapter

More chapters in Advances in Spatial Science from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().