valuutorisk
Valuutorisk, also known as foreign exchange risk or FX risk, refers to the potential for financial loss that an investor or company may experience due to fluctuations in the exchange rate between two currencies. This risk arises when an entity has assets, liabilities, or future cash flows denominated in a foreign currency.
There are several types of valuutorisk. Transaction risk occurs when a company has committed to a future
Companies and investors manage valuutorisk through various hedging strategies. These can include forward contracts, currency options,