International Financial Markets Db

International FinanceAcme has two potential acquisition targets , JEL Industries and DBC Industries . Based on the sole fact that the former belongs to the EU while the latter(prenominal) lacks this credential , it is safe to conclude that a better acquisition target would be JEL Industries . The reasons for this can be found in financial management theory and international business and sparing methodologyFrom a financial management perspective , the EU possesses a degree of maturity in terms of the efficiency of cracking markets (both primary and secondary ) and in the availability and ease of performance of complex financial management products that , according to Schweser (2008 breed unity and help liquidity while at the same magazine providing organizations with a tool set to hedge risks and manage video . It is likely that the acquisition of DBC would not allow for such emancipation to the financial manager .

For example , if Acme acquires JEL , it may lend oneself Euro Futures contracts to hedge against foreign notes exposure but lead have to settle with OTC forward contracts if it chose to acquire DBC as it may use a currency for which standardized contracts argon not available on the major exchanges which allow currency futures trading According to BPP (2007 , this would mean that it would lack the marketability and liquidity that futures provideFrom an sparing and business point of view too , JEL provides a much lucrative opportunity . According to Grant (2007 , encompassing an state of 1 ,669 ,807 Square miles , a population of 500 million...If you hope to get a full essay, order it on our website: Ordercustompaper.com

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