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Exchange rate risk

From Citizendium - Reading time: 1 min

Exchange rate risk [r]: The risk of financial loss resulting from a change in exchange rates, for example when, as a result of a currency mismatch and a falling exchange rate, a loan has to be serviced in a currency other than that in which it is denominated. [e]

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Licensed under CC BY-SA 3.0 | Source: https://citizendium.org/wiki/Exchange_rate_risk
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