Researcher from University College London (UCL) Provides Details of New Studies and Findings in the Area of Risk Management (An Analysis on Hedging Strategies of Corporates under Ukraine Conflict): Risk Management

2024 MAY 15 (NewsRx) -- By a News Reporter-Staff News Editor at Insurance Daily News -- Investigators discuss new findings in risk management. According to news reporting from London, United Kingdom, by NewsRx journalists, research stated, “The Russia-Ukraine conflict has precipitated significant market volatility, notably affecting the energy and agricultural sectors.”

The news journalists obtained a quote from the research from University College London (UCL): “This paper offers a concise analysis of corporate hedging tactics in this tumultuous context. Specifically, it examines the energy sector’s reaction to fuel price escalations and supply disruptions, highlighting Trafigura Group’s revised risk management strategies utilizing financial derivatives to combat market unpredictability. Concurrently, the paper scrutinizes the Louis Dreyfus Company’s (LDC) strategic response within the agricultural domain, acknowledging DC’s proactive risk management measures, including asset insurance, alternative operational frameworks, and advanced risk assessment protocols.”

According to the news reporters, the research concluded: “Additionally, the paper delves into the strategic allocation of gold as a corporate hedging instrument amidst geopolitical strife, evaluating its historical efficacy, crisis performance, and status as a potential financial refuge. The discourse concludes by articulating the imperative for adaptive, ongoing recalibration of corporate hedging strategies, underlining the integration of conventional assets like gold for comprehensive risk management amidst the ongoing Russia-Ukraine crisis.”

For more information on this research see: An Analysis on Hedging Strategies of Corporates under Ukraine Conflict. Advances in Economics, Management and Political Sciences, 2024,79(1). The publisher for Advances in Economics, Management and Political Sciences is EWA Publishing.

A free version of this journal article is available at https://doi.org/10.54254/2754-1169/79/20241794.

Our news editors report that additional information may be obtained by contacting Zichen Zhao, Department of Mathematics, University College London (UCL), London, WC1E 6BT, United Kingdom.

(Our reports deliver fact-based news of research and discoveries from around the world.)