A transaction in which an investor holds a position in the spot market and sells a futures contract or writes a call is
a. a gamble
b. a speculative position
c. a hedge
d. a risk-free transaction
e. none of the above
Answer: C
A transaction in which an investor holds a position in the spot market and sells a futures contract or writes a call is
a. a gamble
b. a speculative position
c. a hedge
d. a risk-free transaction
e. none of the above
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