The objective of the course is to provide the conceptual frameworks with which to analyze the principal financial decisions of the multinational company. Traditional areas of financial management and other decision elements peculiar to multinational firm will be discussed. Topics in this course therefore include currency exchange rate changes, varying rates of inflation, evolution of the International Monetary System, multiple money markets, segmented capital markets, international parity relationships, the foreign exchange market, currency features and options market, swap and interest rate derivative, foreign exchange exposure and management, financial management of the multinational firms and country risk.

CILO-1: To understand and evaluate foreign exchange exposure. CILO-2: To undertand the currency markets in an international perspectives. CILO-3: Identify the operating exposures of the firm. CILO-4: To understand the financial mananagement of multinational firms. CILO-5: To understand and evaluate methods to reduce exchange rate exposure. CILO-6: To understand the Intertational Monetary System.