The Determinants of Corporate Hedging with Derivatives in UK Companies
Abstract: This paper attempts to examine the determinants of corporate hedging with derivatives in UK companies. Based on previous evidences, this paper demonstrates several potential determinants of corporate hedging, which are: Growth opportunities, Alternatives for hedging, Firm size, Leverage,...
| Main Author: | |
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| Format: | Dissertation (University of Nottingham only) |
| Language: | English |
| Published: |
2017
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| Online Access: | https://eprints.nottingham.ac.uk/45803/ |
| _version_ | 1848797194874781696 |
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| author | ZHANG, CHENHAO |
| author_facet | ZHANG, CHENHAO |
| author_sort | ZHANG, CHENHAO |
| building | Nottingham Research Data Repository |
| collection | Online Access |
| description | Abstract:
This paper attempts to examine the determinants of corporate hedging with derivatives in UK companies. Based on previous evidences, this paper demonstrates several potential determinants of corporate hedging, which are: Growth opportunities, Alternatives for hedging, Firm size, Leverage, Tax and Foreign exposure. The sample contains 400 UK companies in different industries, and the data are collected from the annual reports from financial years of 2015 to 2016. By employing mean difference tests, logistic regressions and robustness checks, this paper suggests that liquidity, firm size, interest coverage and leverage are positively related to corporate hedging, while growth opportunities, dividend, profitability, debt maturity and foreign exposures are negatively related to corporate hedging with derivatives in UK companies. |
| first_indexed | 2025-11-14T20:00:00Z |
| format | Dissertation (University of Nottingham only) |
| id | nottingham-45803 |
| institution | University of Nottingham Malaysia Campus |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T20:00:00Z |
| publishDate | 2017 |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | nottingham-458032018-04-17T14:37:54Z https://eprints.nottingham.ac.uk/45803/ The Determinants of Corporate Hedging with Derivatives in UK Companies ZHANG, CHENHAO Abstract: This paper attempts to examine the determinants of corporate hedging with derivatives in UK companies. Based on previous evidences, this paper demonstrates several potential determinants of corporate hedging, which are: Growth opportunities, Alternatives for hedging, Firm size, Leverage, Tax and Foreign exposure. The sample contains 400 UK companies in different industries, and the data are collected from the annual reports from financial years of 2015 to 2016. By employing mean difference tests, logistic regressions and robustness checks, this paper suggests that liquidity, firm size, interest coverage and leverage are positively related to corporate hedging, while growth opportunities, dividend, profitability, debt maturity and foreign exposures are negatively related to corporate hedging with derivatives in UK companies. 2017-09-12 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/45803/1/Msc%20Dissertation%20Chenhao%20Zhang.pdf ZHANG, CHENHAO (2017) The Determinants of Corporate Hedging with Derivatives in UK Companies. [Dissertation (University of Nottingham only)] |
| spellingShingle | ZHANG, CHENHAO The Determinants of Corporate Hedging with Derivatives in UK Companies |
| title | The Determinants of Corporate Hedging with Derivatives in UK Companies |
| title_full | The Determinants of Corporate Hedging with Derivatives in UK Companies |
| title_fullStr | The Determinants of Corporate Hedging with Derivatives in UK Companies |
| title_full_unstemmed | The Determinants of Corporate Hedging with Derivatives in UK Companies |
| title_short | The Determinants of Corporate Hedging with Derivatives in UK Companies |
| title_sort | determinants of corporate hedging with derivatives in uk companies |
| url | https://eprints.nottingham.ac.uk/45803/ |