Preface xvii Acknowledgments xxi PART I: INTRODUCTION 3 Chapter 1 Introduction to International Business Finance 3 PART II: THE GLOBAL BUSINESS FINANCE ENVIRONMENT 25 Chapter 2 The International Monetary System and the Balance of Payments 27 Chapter 3 The Foreign Exchange Market, Forecasting Exchange Rates, and Parity Relationships 66 Chapter 4 The Management of Foreign Exchange Rate Exposure 104 Chapter 5 Political Risk in Global Financial Management 121 PART III: PLANNING FOR FOREIGN INVESTMENT AND OPERATIONS 147 Chapter 6 Foreign Direct Investment 149 Chapter 7 Long-Term Capital Management 170 Chapter 8 Planning and Organization of the International Finance Function 190 PART IV: THE ROLE OF BANKS IN GLOBAL FINANCE 209 Chapter 9 International Banking: Its Environment and Role 211 Chapter 10 International Banking: Major Functions of International Banks 230 PART V: INVENTORY OF INTERNATIONAL FINANCIAL RESOURCES 267 Chapter 11 Non-Bank Financial Institutions in Global Finance 269 Chapter 12 International Financial Markets 287 Chapter 13 International Derivatives: Exchange-Traded 320
