Coberturas financieras con derivados y su incidencia en el valor de mercado en empresas colombianas que cotizan en Bolsa

Translated title of the contribution: Financial hedging with derivatives and its impact on the Colombian market value for listed companies

César Augusto Giraldo-Prieto, Gabriel Jaime González Uribe, Cristhian Vesga Bermejo, Diana Carolina Ferreira Herrera

Research output: Contribution to journalArticlepeer-review

2 Scopus citations

Abstract

The financial theory (Modigliani & Miller, 1958) rises that risk management was not an issue for companies because shareholders could make their own hedging management through portfolio diversification; however, further studies conflict with that statement and show that corporate financial hedging improves performance and increases the value thereof (Ahmed, Azevedo, & Guney, 2014; Allayannis & Weston, 2001; Allayannis & Ofek, 1998). Efficient management of market risks, which is based on the use of financial derivatives, demands strategic and efficient managers in hedging that adds value to the firm, especially in against shocks and imbalances from a macroeconomic and financial nature. Empirical evidence analyzes the performance of the Q-Tobin as an indicator of the effect of hedging strategies of exchange rate associated to the market value. This paper aims to find evidence in Colombia on the effect of using derivatives in the market value of the firm. Its added value lies in the analysis made by economic sectors, identified by CIIU codes and grouped into 5 sectors (Agricultural, Commercial, Industrial or Manufacturing, Services and Construction). The methodology includes several models estimating regression panel data, using a Pooled regression with estimators of fixed and random effects by maximum likelihood estimator. In general, it was found a premium due to hedging, statistically and financially significant, for companies exposed to exchange rate risks that use derivatives by an average of 6.3% on the market value. Moreover, mixed results were found regarding the analyzed variables in the model.

Translated title of the contributionFinancial hedging with derivatives and its impact on the Colombian market value for listed companies
Original languageSpanish
Pages (from-to)1553-1571
Number of pages19
JournalContaduria y Administracion
Volume62
Issue number5
DOIs
StatePublished - Dec 2017

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