Currency Strategy

Preface to the Second Edition.
<p>Acknowledgements.</p>
<p>About the Author.</p>
<p>Introduction.</p>
<p>PART ONE: THEORY AND PRACTICE.</p>
<p>1 Fundamental Analysis: The Strengths and Weaknesses of Traditional Exchange Rate Models.</p>
<p>1.1 Purchasing Power Parity.</p>
<p>1.2 The Monetary Approach.</p>
<p>1.3 The Interest Rate Approach.</p>
<p>1.4 The Balance of Payments Approach.</p>
<p>1.5 The Portfolio Balance Approach.</p>
<p>1.6 Summary.</p>
<p>2 Currency Economics: A More Focused Framework.</p>
<p>2.1 Currencies are Different.</p>
<p>2.2 Currency Economics.</p>
<p>2.3 Summary.</p>
<p>3 Flow: Tracking the Animal Spirits.</p>
<p>3.1 Some Examples of Flow Models.</p>
<p>3.2 Speculative and Non–Speculative Flows.</p>
<p>3.3 Summary.</p>
<p>4 Technical Analysis: The Art of Charting.</p>
<p>4.1 Origins and Basic Concepts.</p>
<p>4.2 The Challenge of Technical Analysis.</p>
<p>4.3 The Art of Charting.</p>
<p>4.4 Schools of (Technical) Thought.</p>
<p>4.5 Technical Analysis and Currency Market Practitioners.</p>
<p>PART TWO: REGIMES AND CRISES.</p>
<p>5 Exchange Rate Regimes: Fixed or Floating?</p>
<p>5.1 An Emerging World.</p>
<p>5.2 A Brief History of Emerging Market Exchange Rates.</p>
<p>5.3 Fixed and Pegged Exchange Rate Regimes.</p>
<p>5.4 Exchange Rate Regime Sustainability A Bi–Polar World?</p>
<p>5.5 The Realworld Relevance of the Exchange Rate Regime.</p>
<p>5.6 Summary.</p>
<p>6 Model Analysis: Can Currency Crises be Predicted?</p>
<p>6.1 A Model for Pegged Exchange Rates.</p>
<p>6.2 A Model for Freely Floating Exchange Rates.</p>
<p>6.3 Summary.</p>
<p>PART THREE: THE REAL WORLD OF THE CURRENCY MARKET PRACTITIONER.</p>
<p>7 Managing Currency Risk I The Corporation: Advanced Approaches to Corporate Treasury FX Strategy.</p>
<p>7.1 Currency Risk.</p>
<p>7.2 Types of Currency Risk.</p>
<p>7.3 Managing Currency Risk.</p>
<p>7.4 Measuring Currency Risk VaR and Beyond.</p>
<p>7.5 Core Principles for Managing Currency Risk.</p>
<p>7.6 Hedging Management Reluctance and Internal Methods.</p>
<p>7.7 Key Operational Controls for Treasury.</p>
<p>7.8 Tools for Managing Currency Risk.</p>
<p>7.9 Hedging Strategies.</p>
<p>7.10 Optimization.</p>
<p>7.11 Hedging Emerging Market Currency Risk.</p>
<p>7.12 Benchmarks for Currency Risk Management.</p>
<p>7.13 Budget Rates.</p>
<p>7.14 The Corporation and Predicting Exchange Rates.</p>
<p>7.15 Summary.</p>
<p>8 Managing Currency Risk II The Investor: Currency Exposure within the Investment Decision.</p>
<p>8.1 Investors and Currency Risk.</p>
<p>8.2 Currency Markets are Different.</p>
<p>8.3 To Hedge or not to Hedge That is the Question!</p>
<p>8.4 Absolute Returns Risk Reduction.</p>
<p>8.5 Selecting the Currency Hedging Benchmark.</p>
<p>8.6 Relative Returns Adding Alpha.</p>
<p>8.7 Examples of Active Currency Management Strategies.</p>
<p>8.8 Emerging Markets and Currency Hedging.</p>
<p>8.9 Summary.</p>
<p>9 Managing Currency Risk III The Speculator: Myths, Realities and How to be a Better Currency Speculator.</p>
<p>9.1 The Speculator From Benign to Malign.</p>
<p>9.2 Size Matters.</p>
<p>9.3 Myths and Realities.</p>
<p>9.4 The Speculators Who they are.</p>
<p>9.5 The Speculators Why They Do It.</p>
<p>9.6 The Speculators What They Do.</p>
<p>9.7 Currency Speculation A Guide.</p>
<p>9.8 Summary.</p>
<p>10 Applying the Framework.</p>
<p>10.1 Currency Economics.</p>
<p>10.2 Flow Analysis.</p>
<p>10.3 Technical Analysis.</p>
<p>10.4 Long–Term Valuation.</p>
<p>10.5 The Signal Grid.</p>
<p>10.6 Risk Appetite Indicators.</p>
<p>10.7 Exchange Rate Regimes.</p>
<p>10.8 Currency Crises and Models.</p>
<p>10.9 Managing Currency Risk I The Corporation.</p>
<p>10.10 Managing Currency Risk II The Investor.</p>
<p>10.11 Managing Currency Risk III The Speculator.</p>
<p>10.12 Currency Strategy for Currency Market Practitioners.</p>
<p>10.13 Summary.</p>
<p>11 EmergingWorld: New Growth Markets for Global FX.</p>
<p>11.1 The Growth of Emerging Markets as an Asset Class.</p>
<p>11.2 Increasing Importance of EM Currencies.</p>
<p>11.3 Explosive Growth in Asian Currencies.</p>
<p>11.4 Asian NDF Markets: Growth and Liberalization.</p>
<p>11.5 Emerging European Currencies.</p>
<p>11.6 Latin American Currencies.</p>
<p>11.7 Summary.</p>
<p>Conclusion.</p>
<p>Index.</p>