摘要：This study aims to investigate the role of forward contract hedging in maintainingvolatility cash flow and growth opportunity and its impact on investor reaction.The population in this study included 242 non-financial companies listed onthe Indonesia Stock Exchange from 2013–2017. The sample was determinedusing purposive sampling, and path analysis was employed to analyze thedata. Results show that forward contract hedging mediates the effects ofvolatility cash flow and growth opportunity on investor reaction. This researchis expected to provide insights so that company management can improveperformance properly and increase investor confidence through the applicationof hedging, thereby maintaining volatility cash flow and growth opportunity.
