Reading 41: Currency Risk Management Los f~Q1-3 instrument, only, managing, currency, insurance

youzizhang

 

LOS f: Discuss the use of options rather than futures/forwards to insure and hedge currency risk.

Q1. Jill Pope, CFA, is a portfolio manager in the United States that will begin managing a portfolio denominated only in Euros. Her supervisor asks her to hedge the portfolio against currency fluctuations using an instrument that will effectively be an insurance policy against downside risk while offering upside potential. To do this, Pope:

A)   take a long position in $/

youzizhang

 

LOS f: Discuss the use of options rather than futures/forwards to insure and hedge currency risk. fficeffice" />

Q1. Jill Pope, CFA, is a portfolio manager in the ffice:smarttags" />United States that will begin managing a portfolio denominated only in Euros. Her supervisor asks her to hedge the portfolio against currency fluctuations using an instrument that will effectively be an insurance policy against downside risk while offering upside potential. To do this, Pope:

A)   take a long position in $/

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这应该是建行吧

pundit

a

sweetgao

k

zhouyp1982

 r

miguelliu

a

sszzyyll

 god

mashanghao

xie

malesword

l