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What are the two types of important types of risks in International Finance which are seldom...

What are the two types of important types of risks in International Finance which are seldom discussed in domestic finance?

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Answer #1

Translation risk and transaction risk are the type of risks used in international finance . These risk arise due to change in exchange rate . Since domestic finance don't have to deal with fluctuations of exchange rate much. Hence these risks are usually not found in domestic finance.

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