This study investigates foreign exchange exposure and the impact of asymmetries and volatility on the daily returns of Taiwanese non-financial firms from 1990 to 2010. Eighty-eight point eight percent of the study's samples were negatively exposed companies benefiting from an appreciation of the domestic currency. Fourteen percent of the firms had asymmetrical profiles. If this percentage is not negligible, Taiwanese firms exhibited mainly symmetrical exposures. Currency volatility had a significant impact on only 7.5% of the firms, but for 37.38% of the sample, the study observed the existence of an asymmetrical volatility. Among them, 65% exhibited negative signs, meaning that good news had a greater impact on the volatility than bad news, which seems counter-intuitive. These results may be explained by the behavior of chasing good news and the effects of a high level of information uncertainty.
