Lock and key liquidity (TT Nov08 p30-31)

The Treasurer November 2008

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The current credit crisis has altered the risk-return equation in favour of minimising risk at a time when funding options for corporates are increasingly scarce. A two-pronged approach to hedging that optimises the capital structure while allowing the corporate to create real cash benefits from market opportunities should therefore be adopted. The value of this approach has never been as clear as in the current market environment.

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