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1- Suppose that you are an investment manager with a large portfolio of technology-oriented stocks. You are concerned that the stock market is in a precarious position, and you want to insulate the portfolio from a stock market downturn. What futures position might you consider taking? Be as specific as possible.

2- Identify and describe the fundamental distinctions between a futures contract and an option contract, and briefly explain the difference in the manner that futures and options modify portfolio risk.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92429119

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