Determinants of hedging decisions in mining companies listed on the Indonesian Stock Exchange

This investigation meticulously examines how growth opportunities, firm size, leverage, and liquidity affect the hedging decisions of mining companies listed on the Indonesia Stock Exchange from ۲۰۱۷ to ۲۰۲۲. Out of an initial population of ۶۲ mining enterprises, a purposive sampling method distilled the focus to ۱۴ representative firms, with the collected data subjected to rigorous analysis via SPSS. The research uncovers that growth opportunities do not significantly alter hedging decisions, whereas firm size demonstrates a significant positive association with the likelihood of engaging in hedging practices. In contrast, leverage and liquidity, as indicated by the current ratio, do not show a substantial impact on hedging behavior. This study seeks to illuminate the various determinants shaping hedging strategies within the mining sector, offering crucial insights that could inform future research and enhance the understanding of risk management approaches in this particular industry.

کلیدواژه ها:

leverage ، Growth opportunity ، liquidity ، Firm Size ، Hedging decisions