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外文标题:The Impact of Financial Risks on the Firms’ Performance
外文作者:Jamal A. Mohamed Noor, Ali I. Abdalla
文献出处: European Journal of Business and Management Vol.6, No.5, 2018 (如觉得年份太老,可改为近2年,毕竟很多毕业生都这样做)
英文2915单词,18958字符(字符就是印刷符),中文4662汉字。(如果字数多了,可自行删减,大多数学校都是要求选取外文的一部分内容进行翻译的。)
The Impact of Financial Risks on the Firms’ Performance
Abstract: Firms are exposed to a variety of risks including credit risk, liquidity risk, foreign exchange risk, market risk and interest rate risk. An efficient risk management system is needed in time in order to control these risks. Managing risk is one of the basic tasks to be done, once it has been identified and known. The risk and return are directly related to each other, which means that increasing one will subsequently increase the other and vice versa. Financial risks have a great impact on firm’s performance. The study also assessed the current risk management practices of the firms and linked them with the firms’ financial performance. The findings confirm whether financial risks can be contained or managed in order for firms to achieve profit maximization for its shareholders.
Keywords: Financial Risk; Firm’s Performance; Interest rate parity; Liquidity gap; Liquidity risk; Risk Management.
1.0 Introduction
1.1Background of study
Risk is defined as anything that can create hindrances in the way of achievement of certain objectives. It can be because of either internal factors or external factors, depending upon the type of risk that exists within a particular situation. Managing risk is one of the basic tasks to be done, once it has been identified and known. The risk and return are directly related to each other, which means that increasing one will subsequently increase the other and vice versa. And, effective risk management leads to more balanced trade-off between risk and reward, to realize a better position in the future (Fatemi and Fooladi, 20
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