Task:
Could you provide your feedback to these Finance questions? 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.