| Abstract [eng] |
Recently one could spot an obvious transformation of the Lithuanian capital market associated with the growth of individual investors in it. However, only few of them manage to make a fortune with trading in the long run. That’s why professional investment management becomes more and more popular. At the moment investment funds are the fastest developing branch in investment management sector. Investment funds are accumulating money and this helps them to increase capitalization. More and more people believe in investment funds future and that’s why management quality question become important. In order to have good investment management practice different risks have to be in mind. One of the major risk that occurs in investments is foreign exchange risk that is researched in this work. In this work there are researched theoretical principles of foreign exchange risk management by applying them to really working investment fund “JT Baltic equity fund II”. Problem analysis: in this part there is revised the existence of foreign exchange risk in investment funds that are managed in Lithuania. The demand for risk management is revealed. There are also revealed the most important dimensions or further analysis, based on the up-to-date researches of Lithuania and foreign scientists and supervisory bodies. Research methodology: in this part of the work there are analyzed the theoretical principles of foreign exchange risk management. The risk is analyzed in three different dimensions: trade, accounting and operating foreign exchange risk. These risk management solutions are systematized in such a way that it would be possible to implement their consistent algorithm when exercising foreign exchange risk management programs in investment funds. The research and their results: in order to use practically the gathered theoretical information about foreign exchange risk management the research of really working investment fund was made. The research showed that foreign exchange risk exists in the fund and it increases when investment in foreign countries are being made. After research there was made a conclusion that derivative – option – is a good instrument for exchange risk management. Conclusions and recommendations: in this part we draw the conclusions from the entire work starting with the problem analysis and ending with the research results and also provide the recommendations. The work contains 72 pages, 11 tables and 20 pictures. |
