Analysis Hedging and Derivative Instrument on Firm Value
Risa Ratna Gumilang (1), Nugraha (2), Ikaputera Waspada (3), Maya Sari (4)

Faculty of Economics and Business Education
Universitas Pendidikan Indonesia

Abstract

This literature review aims to explore and evaluate previous research that focuses on hedging and derivative instruments on firm value. Several frameworks are explored and discussed. In this article, there is some evidence showing that hedging and derivative instruments play a role in firm value which aims to increase firm value. This article has been reviewed based on research findings, methodology, country studied, and year of publication. The most contributions from these 40 major research articles were from the United States (45%) and the highest publications were conducted by researchers in 2017 (42.5%) and 2020 (28.2%) with empirical study research methods (87%) ). This article describes descriptive analysis and qualitative thematic analysis to describe the analysis of hedging and derivative instruments on firm value.

Keywords: Hedging, Derivative Instruments, Firm Value.

Topic: Financial Management and Accounting