Does the Use of Foreign Currency Derivatives Affect Colombian Firms? Market Value?

Número: 
562
Publicado: 
Clasificación JEL: 
G32, G30, L25
Palabras clave: 
Modigliani-Miller, risk management, hedging, firm value

Classic financial theory relies on the absolute perfection of capital markets, which results in one of the milestones of theoretical corporate finance: the firm's value is invariant to the choice of capital structure. As an extension to the aforementioned