This report discusses why BP may seek debt from outside the country and the economic benefits of interest rate parity. It examines the reasons why BP would take loans internationally and how it can benefit the economic performance of the country. The report also discusses the concept of interest rate parity in international financial management and how it can be advantageous for BP's management to consider taking advantage of it in other nations.

Assessment 2

Produce a 3000-word group report on the critical analysis and evaluation of British Petroleum Corporation's International Financial Management strategies based on selected topics from International Financial Management theories.

This report critically analyzes why BP may seek debt from outside the country and if it would be economically advantageous to consider interest rate parity in other nations.

Reasons for BP to Seek Debt Internationally and Economic Benefits

Why BP may source for debt internationally and the economic benefits of interest rate parity

This report analyses the international financial management strategies of British Petroleum, including reasons for internationalisation, sources of finance, capital structure, and financial risk management.

Finance

Languages and Culture

Economics

International Financial Management Strategies of British Petroleum

Analysis of Economic variables

Derivatives

This report evaluates the use of derivatives contracts such as forward contract, future contract, call option and put options against the purchasing power parity and international fisher effect. Learn how to use these derivatives to hedge foreign exchange risk and maintain stable purchasing power parity.

Laguna State Polytechnic University

Calculus and Analysis

Using Derivatives to Hedge Foreign Exchange Risk and Maintain Stable Purchasing Power Parity

International Financial Management

This report discusses the impact of foreign exchange risk, purchasing power parity, and international Fisher effect on international investors. It also evaluates how derivatives could be used to protect against the failure of purchasing power parity and international Fisher effect. The report includes a literature review, evidence and sources, and a conclusion.

Hartpury University and Hartpury College

International Financial Management: Purchasing Power Parity and Foreign Exchange Risk

MGMT2023 - In this assignment, we will discuss&nbsp;International Finance Management&nbsp;under which we have covered returns from Investments in Argentina,&nbsp;Carry Trade,&nbsp;Triangular Arbitrage,&nbsp;Implication of Triangular Arbitrage,&nbsp;&nbsp;Inflation and Forward Rate, Benefits and Cost of range forward or collar arrangements,&nbsp;Non-Market versus Market Hedging.

Business Development

Political Science

MGMT2023 - Assignment on International Finance Management

Individual Assignment

The interest rate parity is the no arbitrage equilibrium condition where the investors are usually indifferent with the different interest rates offered to them in two countries is almost same where the choice of the customer is selecting the one says rational. The uncovered interest rate parity shows the existence between the financial assets internationally and the good markets so that the law of one price exists.

Why BP may source for debt internationally and the economic benefits of interest rate parity

End of preview

International Financial Management Strategies of British Petroleum

Analysis of Economic variables

Using Derivatives to Hedge Foreign Exchange Risk and Maintain Stable Purchasing Power Parity

International Financial Management: Purchasing Power Parity and Foreign Exchange Risk

MGMT2023 - Assignment on International Finance Management

Interest Rate Parity as no Arbitrage Equilibrium Condition

Why BP may source for debt internationally and the economic benefits of interest rate parity

End of preview

International Financial Management Strategies of British Petroleumlg...

Analysis of Economic variableslg...

Using Derivatives to Hedge Foreign Exchange Risk and Maintain Stable Purchasing Power Paritylg...

International Financial Management: Purchasing Power Parity and Foreign Exchange Risklg...

MGMT2023 - Assignment on International Finance Managementlg...

Interest Rate Parity as no Arbitrage Equilibrium Conditionlg...

International Financial Management Strategies of British Petroleum

Analysis of Economic variables

Using Derivatives to Hedge Foreign Exchange Risk and Maintain Stable Purchasing Power Parity

International Financial Management: Purchasing Power Parity and Foreign Exchange Risk

MGMT2023 - Assignment on International Finance Management

Interest Rate Parity as no Arbitrage Equilibrium Condition