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Homework answers / question archive / Banks find it necessary to accommodate their clients’ needs to buy or sell FX forward, in many instances for hedging purposes

Banks find it necessary to accommodate their clients’ needs to buy or sell FX forward, in many instances for hedging purposes

Finance

Banks find it necessary to accommodate their clients’ needs to buy or sell FX forward, in many instances for hedging purposes. How can the bank eliminate the currency exposure it has created for itself by accommodating a client’s forward transaction?

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