Multiple Choice
Which of the following statements is true?
A) Microhedging refers to hedging the entire duration gap of an FI using futures or forward contracts.
B) Macrohedging refers to hedging the entire duration gap of an FI using futures or forward contracts.
C) Microhedging refers to hedging the entire balance sheet of an FI using futures or forward contracts.
D) Macrohedging refers to hedging the entire balance sheet of an FI using futures or forward contracts.
Correct Answer:
Verified
Correct Answer:
Verified
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