Preface Acknowledgments About the author Chapter 1: What is International Corporate Finance? The Uneven Reach of Globalization The Rise of the Multinational Corporation What is Different About International Financial Management? Risks in Wonderland Internationalization and the Locus of the Finance Function The International Control Conundrum Exploiting the Multinational Enterprise System Summary/References/Questions Part One: The International Monetary Environment Chapter 2: Exchange Rates Regimes Some First Principles about Exchange Rate Determination World Map of Exchange Rate Regimes: The "Flexibility x Convertibility Space" Floating Exchange Rates Stabilized or Pegged Exchange Rates Controlled Exchange Rates To Float or to Fix: The Trilemma of International Finance Summary/reference/Questions/Problems/Internet Exercises Chapter 3: Yesterday and Yesteryear: A Brief history of the International Monetary System Chronology of the International Monetary System The Gold Standard (1878-194) The Bretton-Woods System (1944-71) Managed floating Exchange Rates (1973- ) European Monetary System and the European Currency Unit (1979- 1999) Emerging Markets Currency Regimes and Crises European Monetary Union and the Birth of the Euro (1999 - ) Today and Tomorrow: The Current Map of Exchanges Rates Summary/Bibliography/Questions/Problems/Internet Exercises Case study 3.1: Will the Euro-zone shutter? Plant location and Exchange Rates for Hyundai Chapter 4: The Balance of Payments Fundamentals of Balance of International Payments Accounting Balance of Payments Accounting Current Account Capital Account Official Reserve Account Statistical Discrepancies: Errors & Omissions Balance of Payments and the Foreign Exchange Market Debtor vs. Creditor Nations Linking the Balance of Payments to National Income Summary/Questions/Problems/References/Internet Exercises Case Study 4.1 When one of the bric(k) fall: trials and tribulations of the Indian rupee . Part Two: The World Market For Foreign Exchange and Currency Derivatives Chapter 5: The Foreign Exchange Market How Forex is traded: The Institutional Framework Foreign Exchange Products Exchange Rate Quotations Summary/Questions/Problems/References Case Study 5.1: Banco Mercantil Internacional''s Forex Losses Chapter 6: Interest Rate Arbitrage and Parity Interest Rate Arbitrage Theorem Interest Rate Parity Uncovered Interest Rate Arbitrage and the "Carry Trade" Appendix 6A:Transaction Costs: Interest Rate Arbitrage with Bid-Ask Spreads (Advanced) Appendix 6B: Interest Rate Parity and Asymmetric Taxation Summary/Questions/Problems//Internet Exercises/References Case Study 6.1: Brazil''s Rede Globo''s financing choices Chapter 7 Purchasing Power Parity and the Fisher Parity Purchasing Power Parity The Linkages between Interest, Inflation and Exchange Rates Summary/Questions/Problems/References Chapter 8 Currency Futures and Options. A Brief History of Derivatives Currency Futures Currency options Options Strategies Derivatives and Zero-Premia Options Summary/Questions/Problems//Internet Exercises/References Case 7.

1 Daewoo''s Unorthodox Funding Strategies Part Three: Global Capital Markets and The Funding Decision Chapter 9: The International Financial Sector and the Dynamics of Global Capital Markets Financing as a Global Procurement Decision The Financial System and Financial (Dis)Intermediation Securitization and the (Lower) Cost of Consumer Financing Deregulation Mapping the Financial System/Capital Market Emergence Process Summary/Questions/Problems//Internet Exercises/References Case 9.1: How Thai Airways "Foil" Jet Fuel price Risk Chapter 10: Sourcing Equity Globally A Grand Tour of Equity Markets Global Equity Financing as a Procurement Decision Why Firms Choose to Cross-list? How to Source Equity Globally Summary/Questions/Problems//Internet Exercises/References. Case Study 10.1: Jazztel''s Foreign IPO Chapter 11: Sourcing Debt from Global Bond Markets The International Debt Procurement Decision Grand Tour of the Global Debt Market Cost of Foreign Currency Debt Financing Debt Refinancing The International Debt Financing Conundrum Summary/Questions/Problems//Internet Exercises/References Case Study 11.1 McDonald''s Dim Sum Bonds: "Lovin'' It" Chapter 12: Currency, Interest Rate and Credit Default SWAPS Currency swaps Interest rate swaps Credit Default Swaps Summary/Questions/Problems//Internet Exercises/References Case Study 12.1: The Demise of AIG Chapter 13: International Trade Financing A Brief History of International Trade The Trilogy of Risks in Exporting Managing Credit Risk Managing Currency Risk Managing Country Risk Financing Exports Pre-Export Financing Government-Sponsored Exports Credit Agencies Case 13.1 Warrick Pharmaceuticals Inc Part Four: Managing Foreign Exchange Risk Chapter 14: The Case for Foreign Exchange Management Defining Foreign Exchange Risk Management and its Objectives Can Hedging Currency Risk Increase the Value of the Firm? When is Hedging Currency risk Irrelevant? From Hedging to Managing Currency Risk The Building Blocks of Foreign Exchange Risk Management Summary/Questions/Problems//Internet Exercises /References. Case Study: Bio-oils Chapter 15: Forecasting Exchange Rates Market-Based Forecasts Model-Based Forecasts: Technical vs.

Econometric Modeling Approaches. Assessing the Track Records of Forecasting Models Composite Forecasts How to Use Currency Forecasts Summary/Questions/Problems//Internet Exercises /References. Appendix 15A: Forecasting Pegged yet Adjustable Exchange Rates Case Study 15.1: Euclides Engineering Chapter 16: Managing Transaction Exposure Measuring Transaction Exposure The Mechanics of Hedging Transaction Exposure Hedging and Financing International Trade Eliminating Foreign Exchange Risk in Long Term Contracts Exchange Risk in International Bidding How much to Hedge Transaction Exposure Summary/Questions/Problems/References Case Study 16.1: Hedging Currency Risk at TT Textiles Chapter 17: Managing Translation Exposure What is Translation Exposure? Should Translation Exposure be Hedged? Alternative Translation Methods The Mechanics of Contractual Hedging The Mechanics of Financial Hedging Summary/Questions/Problems/References Case Study 17.1: Wilkinson-Sword''s Trials and Tribulations in Turkey (website) Chapter 18: Managing Economic Exposure A Taxonomy of Economic Exposures. Towards an Operational Measure of Economic Exposure Managing Operating Exposure Summary/Questions/Problems/References Case Study 18: PSA Peugeot Citroen SA''s economic exposure to the Korean won Part Five: International Valuation and The Investment Decision Chapter 19: Foreign Market Entry Strategies and Country Risk Management Contractual Modes of Foreign Market Entry Foreign Market Entry Through Foreign Direct Investments Country Risk Costs/Benefits of Foreign Direct Investment to Host Countries Summary/Questions/Problems/Internet Exercises/ References Case Study 19. Carrefour''s India Entry Strategy Chapter 20: International Capital Budgeting The Foreign Direct Investment Decision-Making Process A Primer on Evaluating Investment Opportunities What is Different about Evaluating Foreign Investment Proposals? Global Cost of Equity Capital Optimal Worldwide Capital Structure Summary/Questions/Problems//Internet Exercises/References Appendix 20.

A: Adjusted Present Value Appendix 20.B: Real Options Chapter 21: Cross-Border Mergers and Acquisitions A Brief History of Mergers & Acquisitions The Industrial Logic of Mergers & Acquisitions Are Cross Border Acquisitions Different? Valuation of Foreign Acquisitions Ciments Lafarge Enters Vietnam Summary/Questions/Problems/Internet Exercises/References Case Study: Etihad''s Proposed Acquisition of Malaysia Airlines Chapter 22: Project Finance What is Project Finance? Leveraged and Non-Recourse Financing On Allocating Risks Anatomy of a Project Finance: The Case of the Ras Laffan Liquefied Natural as Company Valuing Project Finance: the Esty''s Model Summary/Questions/Problems/References Case Study 22.2: Clean Infra Ltd Project Finance Chapter 23: Global Investment The Basics of International Portfolio Management The Gains From International Diversification Trials & Tribulations in Foreign Equity Investing Currency Risk in Global Investing Alternative Modes of Investing in Foreign Equity The New Landscape of the Global Investing Appendix: Global Thematic Partners Summ.