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    Exam 11: Introduction to Options Markets
  5. Question
    Hedging with Futures Lets a Market Participant Lock in a Price
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Hedging with Futures Lets a Market Participant Lock in a Price

Question 1

Question 1

Multiple Choice

Hedging with futures lets a market participant lock in a price and thereby eliminates:


A) Price risk.
B) Basis risk.
C) Credit risk.
D) Liquidity risk.
E) None of the above.

Correct Answer:

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