Which of the Following About Foreign Exchange Objectives for a Large

Multiple Choice

Which of the following about foreign exchange objectives for a large company is incorrect?

A) An FX strategy that requires a company to hedge a defined percentage of its identified FX exposures at all times is called a defensive strategy.
B) A company document should state whether it will have a centralised or decentralised FX operation.
C) A firms' FX function is part of the organisation's treasury division.
D) Strategies that require a company to analyse and forecast movements in FX markets and then apply based on its forecasts are called hedging strategies.