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    Exam 24: Options, Caps, Floors, and Collars
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    A Hedge with a Futures Contract Reduces Volatility in Payoff
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A Hedge with a Futures Contract Reduces Volatility in Payoff

Question 102

Question 102

True/False

A hedge with a futures contract reduces volatility in payoff gains on both the upside and downside of interest rate movements.

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