Exposure Netting

Exposure Netting
Setting of exposures in a currency by means of exposures in either the same or different currency. Such set off takes place when expectations are that exchange rates will move to balance gains/ losses on the original open position with gains/ losses arising from the following position on the second transaction.

Related posts:

  1. Balance Sheet Exposure
  2. Transaction Exposure
  3. Market Neutral
  4. Accounting Exposure
  5. Exchange Rate Risk

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