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Forex question What constitutes foreign exchange expose?
avatar Catkathyy
Question by: Jeremy - 15 Sep 2014, 08:02:12
What constitutes foreign exchange expose?
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Answers (1)
avatar user 4332
Answer by: Jeremy - 21 Jan 2015, 05:46:06

A type of foreign exchange exposure caused by the effect of unexpected currency fluctuations on a company’s future cash flows. Also known as operating exposure, economic exposure can have a substantial impact on a company’s market value, since it has far-reaching effects and is long-term in nature.

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