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Revista Brasileira de Finanças 2007, 5 2

Author: José Luiz Rossi Júnior

Source: http://www.redalyc.org/articulo.oa?id=305824758004


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Revista Brasileira de Finanças ISSN: 1679-0731 rbfin@fgv.br Sociedade Brasileira de Finanças Brasil Rossi Júnior, José Luiz The Use of Currency Derivatives by Brazilian Companies: An Empirical Investigation Revista Brasileira de Finanças, vol.
5, núm.
2, 2007, pp.
205-232 Sociedade Brasileira de Finanças Rio de Janeiro, Brasil Available in: http:--www.redalyc.org-articulo.oa?id=305824758004 How to cite Complete issue More information about this article Journals homepage in redalyc.org Scientific Information System Network of Scientific Journals from Latin America, the Caribbean, Spain and Portugal Non-profit academic project, developed under the open access initiative The Use of Currency Derivatives by Brazilian Companies: An Empirical Investigation José Luiz Rossi Júnior* Abstract This paper studies the use of foreign currency derivatives for a sample of non-financial Brazilian companies from 1996 to 2004.
The paper verifies that some of the hypotheses presented by the optimal hedging literature are able to explain the Brazilian companies’ decision to use currency derivatives and their decision on the amount to use.
Moreover, the paper shows that the macroeconomic environment and country-specific factors not analyzed in previous empirical work also play a role in determining the companies’ risk management practices and that the use of currency derivatives has an impact on the companies’ decision regarding their capital structure and the currency composition of their debt. Keywords: Hedging; foreign debt; currency derivatives; emerging market; Brazil. JEL codes: F31; F34; G32. Resumo Este artigo estuda o uso de derivativos de moeda para uma amostra de empresas brasileiras não-financeiras de 1996 a 2004.
O trabalho verifica que algumas das hipóteses apresentadas pela teoria do hedging ótimo são capazes de explicar a decisão acerca da utilização e o volume de derivativos utilizados pelas firmas brasileiras.
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