- •Table of content
- •Introduction
- •Introduction to theoretical Background
- •1.2. Forex
- •1.2.1 Defining of Forex
- •1.2.2 History of Forex
- •1.2.3 Forex market participants
- •1.2.4 Daily turnover in Forex market
- •1.2.5 Types of exchange rate
- •Managed float regime
- •4). Free float regime
- •1.3.6 Factors, that effect to foreign exchange
- •1.3.7 Foreign exchange transactions
- •Forward transaction
- •Options
- •Futures
- •1.3 Risk management
- •1.3.1 The history of the theory of risk management
- •1.3.2 Defining of risk management
- •1.3.3 Foreign exchange risk
- •1.3.4 Types of foreign exchange risk
- •1.3.8 Foreign Exchange Risk Management
- •1.3.9 Stages and methods Foreign Exchange Risk Management
- •1.3. 10 Methods to reduce the foreign exchange risk
- •1.3.11 Methods of insurance from foreign currency risks
- •1. Балабанов и.Т. «Риск-менеджмент» – Москва.: Финансы и статистика, 1997.
- •1. Жуков е.Ф. «Банки и банковские операции» – Москва.: юнити, 1997.
- •1.3.12 Problems of foreign exchange risk management
MINISTRY OF EDUCATON AND SCIENCE
OF THE REPUBLIC OF KAZAKHSTAN
SULEYMAN DEMIREL UNIVERSITY
Faculty of Economics and Administrative Sciences
“Risk management in Forex market”
Submitted By: Arman Umishev
Specialty: Management-050507
Approved by:
Dr. Zhanar Temirbekova Scientific Supervisor
Date
Prof. Dr. Bolat Tatibekov Head of Department, Faculty of Economics
Date
Prof. Dr. Saltanat Amirgalieva Dean, Faculty of Economics
Date
Almaty 2013
SULEYMAN DEMIREL UNIVERSITY Faculty of Economics and Administrative Sciences Department of Management-050507 Recommendations FORM #1
Name of the student: _____________________________________________________________________________
Theme: __________________________________________________________________________________________________________________________________________________________
Remarks on the significance if the Theme:
__________________________________________________________________________________________________________________________________________________________
Positive side of this work:
__________________________________________________________________________________________________________________________________________________________
Remarks on conclusion and suggestions:
__________________________________________________________________________________________________________________________________________________________
Remarks on Literature sources used:
__________________________________________________________________________________________________________________________________________________________
Comments on insufficiencies of work if any:
__________________________________________________________________________________________________________________________________________________________
Graduate
________________ __________Arman Umishev_______________________________
_____________________________________________________________________________Name of supervisor and Level of degree in full
_____________________________________________________________________________Address of work place and position held
____ Day _____ month ______ year
______________________ Signature of External Expert
SULEYMAN DEMIREL UNIVERSITY Faculty of Economics Department of Management-050507 Recommendations FORM #2
Name of the student: _____________________________________________________________________________
Theme: __________________________________________________________________________________________________________________________________________________________
Remarks on the significance if the Theme:
__________________________________________________________________________________________________________________________________________________________
Positive side of this work:
__________________________________________________________________________________________________________________________________________________________
Remarks on conclusion and suggestions:
__________________________________________________________________________________________________________________________________________________________
Remarks on Literature sources used:
__________________________________________________________________________________________________________________________________________________________
Comments on insufficiencies of work if any:
__________________________________________________________________________________________________________________________________________________________
Graduate
___________ Arman Umishev_______________________________ _____________________________________________________________________________Name of supervisor and Level of degree in full
_____________________________________________________________________________Address of work place and position held
____ Day _____ month ______ year
______________________ Signature of Supervisor
ABSTRACT
Table of content
Chapter 1:
Introduction to theoretical Background
.1 Forex
Defining of Forex
History of Forex
Forex market participants
Daily turnover in Forex market
Types of exchange rate
Factors, that effect to foreign exchange
Foreign exchange transactions
Foreign exchange risk management
1.3.1 Defining of risk management
1.3.2 History of theory of risk management
1.3.3 Defining of Foreign exchange risk
1.3.4 Types of foreign exchange risk
1.3.5 Foreign Exchange Risk Management
1.3.6 Stages and methods Foreign Exchange Risk Management
1.3. 7 Methods to reduce the foreign exchange risk
1.3.8 Methods of insurance from foreign currency risks
1.3.9 Problems of foreign exchange risk management
1.3.10 Problems of foreign exchange risk management
Chapter 2
2.1 Introduction to analysis
2.2 Forex market survey results
2.2.1 Forex market survey in case of Kazakhstan
2.3 Risk managing analysis in Forex market
2.3.1 Money management as key factor of profitable trade
2.4 Summary
Chapter 3 Findings and Suggestions
3.1 Introduction
3.2 Finding
3.3 Recommendation
3.4 Summary of the study
Conclusion
Implication
Future research
Summary
REFERENCES
APPENDICES
Introduction
When preparing a graduation paper aim was - the study of the nature of exchange rate risk, its causes, who is at risk. The objectives of the diploma work are to identify ways to manage currency risk, as well as analyze problems of management of foreign exchange risks. In writing of work used training, educational sources, scientific literature, statistical material, the publication in the press.
The risk is situational characteristics of any manufacturer, reflecting uncertainty about the outcome and the possible adverse consequences in the event of failure. The risk is expressed by the probability of receiving such undesirable results as loss of profits and losses of a consequence of defaults on loans, reduced resource base, making payments on-balance sheet transactions, etc. But at the same time, the lower the risk, the lower the probability of getting higher returns. Therefore, on the one hand, each manufacturer tries to minimize their risk and multiple alternatives that always choose, at which the risk is minimal, on the other hand, it is necessary to select the optimum ratio of the level of risk and the degree of business activity yield. The level of risk increases when:
• Problems arise suddenly and contrary to expectations;
• New tasks that do not meet the bank's past experience (which is especially important in our case, where the institution of commercial banks is just beginning to develop);
• Management is not able to take the necessary and immediate steps that could lead to financial damages (poor ability to obtain necessary and / or benefit from);
• The existing procedures of the bank or the imperfection of the law prevent the adoption of some of the best action for a particular situation.