When selecting among various put options with different strike prices, in order to hedge a long asset position, which of the following statements is true?
A) Higher strike puts cost more and provide higher floors
B) Higher strike puts cost less and provide higher floors
C) Lower strike puts cost more and provide higher floors
D) Lower strike puts cost less and provide higher floors
A
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Buying stocks gives an investor
A. a very low but safe return. B. ownership in corporations. C. the riskiest asset available in the market. D. a pure and random speculative gamble.
The______________rate of interest is the rate that bondholders could obtain by investing in other bonds that are similar to the issuing firm's bonds
Fill in the blank(s) with correct word
Peter was a salesman for a retail shoe store, Soles Inc He was bored with the job and decided to quit and so he gave his boss a letter stating that he would be leaving in 2 weeks. His boss was angry and fired him on the spot that day
As a result Peter A) is liable for wrongful resignation B) can successfully sue Soles Inc. for wrongful dismissal C) should have only given one weeks' notice D) can successfully sue for constructive dismissal E) cannot work for another shoe store for at least 2 weeks
Index funds are popular for all of the following reasons except
A) their performance relative to other mutual funds. B) they incur low expenses. C) they are not actively managed. D) performance is frequently lower than that of actively managed portfolios.