Financial Instruments to Hedge Commodity Price Risk for Developing Countries /

Many developing economies are heavily exposed to commodity markets, leaving them vulnerable to the vagaries of international commodity prices. This paper examines the use of commodity options-including plain vanilla, risk reversal, and barrier options-to hedge such risk. It then proposes the use of...

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Bibliographic Details
Main Author: Lu, Yinqiu
Other Authors: Neftci, Salih
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2008.
Series:IMF Working Papers; Working Paper ; No. 2008/006
Online Access:Full text available on IMF