學門類別
政大
哈佛
最新個案
- Leadership Imperatives in an AI World
- Vodafone Idea Merger - Unpacking IS Integration Strategies
- Snapchat’s Dilemma: Growth or Financial Sustainability
- V21 Landmarks Pvt. Ltd: Scaling Newer Heights in Real Estate Entrepreneurship
- Predicting the Future Impacts of AI: McLuhan’s Tetrad Framework
- Did I Just Cross the Line and Harass a Colleague?
- TNT Assignment: Financial Ratio Code Cracker
- Porsche Drive (A): Vehicle Subscription Strategy
- Porsche Drive (A) and (B): Student Spreadsheet
- Porsche Drive (B): Vehicle Subscription Strategy
-
Leveraged Buyout (LBO) of BCE Inc.: Hedging Currency Risk - Instructor Spreadsheet
Instructor spreadsheet for product 9B08N023 -
Leveraged Buyout (LBO) of BCE Inc.: Hedging Currency Risk - Spreadsheet
Spreadsheet for product 9B08N023. -
Leveraged Buyout (LBO) of BCE Inc.: Hedging Currency Risk
In 2007, an analyst in the derivatives group of investment bank Grenfeld & Co. was asked to devise a hedging strategy for Providence Equity Partners (Providence) in Bell Canada Enterprises (BCE Inc.). Providence was based in the United States and any strategy would involve significant foreign exchange rate risk due to the conversion of returns into U.S. dollars. The analyst needed to consider several long-term hedging strategies that Grenfeld & Co. could recommend to Providence. Her vice-president had asked that she create a hedging strategy by initially assuming a 25 per cent IRR for the investment and its performance, based on two outcomes at the end of the investment (investment horizon = five years): a zero per cent IRR and a 25 per cent IRR.