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Suppose you hold most of your wealth in stock. What kinds of options should you buy or sell in each of the following circumstances?

a. You think the stock market will probably do well, but you worry about a crash.

b. You want to get a steady return on your assets. You don't care whether you get rich from a big rise in the market.

c. You think there will soon be big news about firms' earnings, but you don't know whether the news will be good or bad.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M91976727

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