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To hedge a long position in a put option you need to:

a) Do nothing, because the position has no downside risk

b) Buy call, sell stock, invest proceeds in T-bills

c) Sell call, buy stock, borrow money at T-bills rate

d) Sell call, sell stock, invest proceeds in T-bills

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M91535732

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