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    Risk Management and Insurance Study Set 1
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    Exam 5: Risk-Handling Techniques: Diversification and Hedging
  5. Question
    Hedging Is
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Hedging Is

Question 51

Question 51

Multiple Choice

Hedging is:


A) selling two investments that are both expected to lose
B) buying two investments that are both expected to make a profit
C) taking two positions whose gains and losses will offset each other
D) buying insurance against a fortuitous loss

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