Foreing exchange market and the methods of hedging of the rate of exchange risks: Derivative instruments and the use ability in Turkey

The word of foreign Exchange is being used as the Money of foreign country as norrowest meaning. Especially, the foreign exchange that has a different importance in international commercial business uses widespread in international markets nowadays. However, the systems determine the rate of Exchange within countries especially make difficulties on estimate of rate of Exchange in use of free rate of foreign currency country. So that brings the risks on trade with foreign exchange. The same risks are in question with the firms that trade with foreign Exchange in our country. But this risk is not imposible to eliminate. To abolish of these risks that cause the change of foreign Exchange belongs to estimate risk of the future rate of Exchange techniques are important. The derivatives that minimize the rate of Exchange risks; forward, futures, swap and options are the subject of the investigation. Derivative operations give on opportunity to participant to transfer of risk. Key words: Derivatives markets, Foreign Exchange, The systems of rate of foreign Exchange, Forward, Futures, Swap, Options, VOBAŞ.