International Financial Management and Dividend Distribution Policy of HSBC

ASSIGNMENT 1

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
Critically analyse and examine the significance of international financial management to
HSBC...........................................................................................................................................3
Discussing challenges which organization may be experiencing in varied international
financial markets..........................................................................................................................3
Critically analyse organization's dividend distribution policy.....................................................4
Critically examine efficient market hypothesis theory in the context of HSBC operations........5
Critically evaluate company approaches of appraising projects..................................................6
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Internal financial management refers to effective management of finance in an global
business environment context, which include key practices like trading and money making, via
exchange of foreign currency. The current assignment will be based on HSBC, which falls under
the category of leading multinational corporations in the UK. The study will explain the
importance of international financial management to firm, and challenges which it may be
experienced. Furthermore, the report will also define that dividend distribution policy, efficient
market hypothesis theory and approaches of appraising projects, by the HSBC.
TASK
Critically analyse and examine the significance of international financial management to HSBC.
It can be critically evaluated that international financial management is quite essential for
those companies that operated their ventures from national to international level, which helps to
increase shareholders wealth successfully (Breuer and Ruiz de Vargas, 2021). In the context of
HSBC, global financial management is important because of varied reasons. For example, it may
support organization to reach desire outcomes in term of achieving strategic aims and objectives
as well as efficiency in all the markets. It can be said that international financial management
contribute to make a company productive and profitable in term of calculating exchange rates of
several currencies. The current concept is essential and beneficial because of more reasons such
as it may help to make good investment and financial decision that allow bank to obtain desire
results, without facing major issues.
Discussing challenges which organization may be experiencing in varied international financial
markets.
Financial management challenges-
In the recent time, it is quite challenging for an organization to run their venture in the
different international financial markets, because it creates the biggest challenge for them, such
as current one (Mosteanu and Faccia, 2020). It may put negative impact on their business
operations such as financial management in term of creating issue to exchange the currency,
appropriately, for which appropriate procedure, systems and other resources are required. This
form of problem, may put negative impact on venture growth and success in the varied global
financial markets as bank is accountable to manage the accounts of different customers, who
may belong to national and international markets.