International Financial Management (N1548)
Spring term
Mid-term Assignment: 1000 w essay
Due: week 8 (please refer to Sussex Direct for submission deadline)
You are the CEO of Sygma Ltd, a multinational company incorporated in the UK but do business in many emerging countries including Bolivia. In 2011 the central bank of Bolivia decided to adopt a crawling peg system for its currency, the Boliviano, against the USD. As a CEO you are asked to address the following points about the country’s economy and your company’s position:
a) Discuss the implications on the country’s economy after the change of the system (50%).
b) What strategy should you employ in order to manage the exchange rate exposure resulting from the change in the currency regime? (50%)
Please keep a copy of the essay for your own records. The essay should be submitted electronically via Turnitin.
Specific Guidelines
1- Your essay should not rely solely on the lecture notes and core textbooks.
2- You are expected to use external resources and professional databases (See below the list of exclusive databases) to learn more about the topic and provide an adequate analysis. All external sources must be referenced accordingly.
3- You are expected to mention all possible techniques to manage the exposure of the company, but speak in details about one technique.
The adopted technique must be different than the ones used in the module.
4- Your essay must rely on professional databases and trusted sources to cite (see full list below). You are not allowed to cite news feed, blogs, general newspapers that are publicly available.
5- You are entitled to use a numerical example of your own when it comes to the hedging technique.
6- You are given an exclusive list of data sources, you must stick to the list, you are not allowed to use any other list. When presenting your figures or graphs, you must take a screenshot of the main source and attach it to your document, without changing the format, colours, labels or anything else from the original graph.
On the use of GenAI (such as ChatGPT):
The use of GenAI is acceptable and encouraged, however, only to help with structuring, speeding up your research and to improve your writing style. However, please remember that GenAi processes its information from other sources, some of which may be unreliable. Your content is your own responsibility, you are the one who should verify if it’s accurate or not. You could do so by providing real market examples, data, figures and tables to support your arguments. These data must be gathered from the main source (the list of exclusive data sources is provided below). You are not allowed to use any other sources for data.
Please use GenAi to improve your knowledge base but not to wholly rely on it to complete your assignment.
Exclusive Data Sources
You are given an exclusive list of data sources, you must stick to the list, you are not allowed to use any other list:
1. Peer reviewed Economics and Finance Journal Articles
2. Worldbank database
3. Bloomberg Terminals
4. IMF database
5. ORBIS
6. FAME
7. FT
8. The economist
9. Statista
10. Other databases only if they are available through Sussex Library.
General guidelines:
I. Your essay should clearly demonstrate analytical, critical and evaluative skills in relation to international financial management.
II. It is expected that your essay should demonstrate a wide background of reading and research; and only then, you would get an above average grade.
III. All references should be acknowledged (see Library handout on reference styles –Harvard approach is strongly recommended).
IV. Good standards of written English and presentation are expected and marks will be deducted if such standards are not met.
V. The length of the coursework should be no more than 1,000 (exceeding the word limit will cost you 10% of the mark).