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In Expectation of Increased Price Volatility,an Investor Purchased a Call

Question 84

Multiple Choice

In expectation of increased price volatility,an investor purchased a call option and at the same time bought a put option,both with out-of-the-money exercise prices on the same underlying asset.The strategy is known as a:


A) horizontal spread.
B) vertical spread.
C) short strangle.
D) long strangle.

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