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    Investment Analysis and Portfolio Management Study Set 1
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    Exam 15: Forward, Futures, and Swap Contracts
  5. Question
    When F<sub>0,T</sub> > E(S<sub>T</sub>), It Is Known as
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When F0,T > E(ST), It Is Known as

Question 125

Question 125

Multiple Choice

When F0,T > E(ST) , it is known as


A) backwardation.
B) normal backwardation.
C) normal contango.
D) inverted spread.
E) pure expectations equilibrium.

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