Currency risk sharing

An agreement by the parties to a transaction to share the currency risk associated with the transaction. The arrangement involves a customized hedge contract embedded in the underlying transaction.

Currency Risk Sharing

An agreement between two parties where they share the foreign exchange risk associated with a transaction. For example, a buyer in Britain and a seller in the United States may agree to split the difference between any gains or losses that may result from the sale of the good or service. Currency risk sharing reduces foreign exchange risk for both parties.

单词	currency risk sharing
释义	Currency risk sharing Currency risk sharing An agreement by the parties to a transaction to share the currency risk associated with the transaction. The arrangement involves a customized hedge contract embedded in the underlying transaction. Currency Risk Sharing An agreement between two parties where they share the foreign exchange risk associated with a transaction. For example, a buyer in Britain and a seller in the United States may agree to split the difference between any gains or losses that may result from the sale of the good or service. Currency risk sharing reduces foreign exchange risk for both parties.
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