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Finance 1 answer below » Assume you hold a well-balanced portfolio of common stocks. Under what conditions might you want to use a stock-index (or EFT) option to hedge the portfolio? a. Briefly explain how such options could be used the hedge a portfolio against a drop in the market. b. Discuss what happens if the market does, in fact, go down. c. What happens if the market goes up instead? Jan 11 2014 02:41 AM
