The study looked at how changes in exchange rates affect the value of U.S. multinational companies that use short-term foreign exchange derivatives. They found that companies that use fewer of these financial instruments are more affected by exchange rate changes, while those that use more are less affected. The size of the company and how much business they do overseas also play a role in how much they are affected by currency fluctuations. Overall, companies that use more foreign exchange derivatives are better protected from the negative effects of exchange rate changes on their value.