International Financial Management in Em

Emerging markets (EMs) are volatile animals.   Firms operating in EMs may suddenly face higher inflation and interest rates, credit scarcity, and a devaluation, forcing many to file for bankruptcy. How could firms protect from currency risks? Are hedging practices foolproof? What are the sources of credit available for firms? Are shadow financial sectors the solution to sustaining a firm’s working capital?  What resources do firms have to mitigate a credit shock?

During the whole semester, students will work in teams to analyze the financial challenges that firms face in an emerging market of their choice. In the process of doing so, you will have the opportunity to use all the macro-financial and corporate finance concepts and frameworks learned in other courses and links involved. Your team will be able to present its work to class and receive feedback on content and presentation.  By means of case studies, discussions, and contributions for guest speakers—most from international organizations--and yourself, the course will cover all the challenges described above.