Could you provide your feedback to these Finance problems? Per problem 2, if you find anything from the internet then could you provide references. Please provide your feedback within 200 words. Thanks.
1. I would agree that many investors firmly believe in buy and hold. But stocks can fall and stay down for many years. So what might be a way to protect you from losses on such long term falls in a stock price?
2. I would agree that multinationals must be intimately familiar with the customs etc. of a variety of nations. And in the financial management of a multinational firm there is considerable foreign exchange risk. In other words the currency markets move the value of one currency against another every day. So how might a company hedge or protect itself from these moves? You might want to do a bit of research on the internet re this reality.