Forward contracts can be used as effective instruments for hedging interest and
currency risks. The peculiarity of futures is their use for minimization of interest and
currency risks, as well as price variation risk on shares. Swap contracting provides an
opportunity to increase the efficiency of borrowing funds, to hedge interest, currency,
and credit risks and share prices change risk. Options are important tools for
competition, minimizing market conditions change risk, commodity prices, stock
prices, interest and currency risks, and are used to monetize positions in shares as a
means of merging with other financial institutions [9, p. 16].
Investment support is of great importance. Chernykh S. notes that an effective
financial support strategy is a strategy that with relatively low costs allows long-term
innovative development. Determining elements of the strategy is the financial basis of
projects (recipients), sources of funding, distribution of time-limited resources, high
efficiency of financial resources distribution, stable and viable creation, adaptation to
the external environment [10, p. 11].
Investment projects, developed in the context of separate real enterprise
investment forms, are categorized according to a number of criteria: functional focus,
investment goals, implementation compatibility, the timing of implementation, the
financing scheme, etc. [16, p. 293].
Depending on the purpose of investment Maiorova T. distinguishes such
strategies as [4]:
-
forming for profit-making;
-
in order to retain capital;
-
in order to increase capital;
-
in order to secure funds;
-
in order to maintain liquidity;
-
in order to expand economic impact;
-
in order to speculate.
In severe market conditions it is mandatory to take into account competitive
strategies as sources of competitive advantages of the enterprise [4]:
-
growing of intellectual property of the corporation;
-
growing of human capital of the corporation;
-
patent and licensing expansion;
-
supporting the leading position in the field of a particular market segment or
product niche;
-
merging and acquisition;
-
cost savings;
-
development based on own funds and their effective investment in projects;
-
minimizing risks by dividing them with partners in investment projects;
-
differentiation, based on the diversity of products and services.
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