Money Market Hedge Simplified! | ACCA FM F9 | Question Newden

Money Market Hedge (ACCA FM): In this 10-minute tutorial, I show how to hedge FX risk using the money market method—step-by-step, with a worked example. Perfect for ACCA Financial Management (FM) exam prep and quick revision. We compare money market hedging vs forward contracts, highlight common exam traps. What you’ll learn: When to use a money market hedge (payables vs receivables) Converting at spot using borrowing/lending at domestic/foreign interest rates Full numerical example with tidy workings: Question Newden Exam technique: layout, rounding, time-saving tips Download question Newden here: https://bit.ly/3BALrup Good luck on your upcoming ACCA FM exam! *********************************************** Table of Contents: 00:00 - Introduction 02:31 - Forward Contract Explained 02:59 - Money Market Hedge for a Receivable Explained 04:03 - Money Market Hedge for a Payable 06:21 - Choosing the correct FX Rate 07:47 - Constructing the Money Market Hedge 10:35 - Calculating a Forward Rate Contract ********************************************** Steve Willis ACCA www.stevewillistraining.com How to pass ACCA CBE Exams Money market hedge explained Related topics Money market hedge example • FX risk management • ACCA FM revision • Hedging foreign currency • Borrowing and lending strategy • Forward hedging vs money market #ACCA #FinancialManagement #MoneyMarketHedge #FXRisk #ExamTechnique