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Social Science Clinic => Business => Finance => Topic started by: nanna on Mar 29, 2022

Title: To hedge a bond portfolio, an investor should use
Post by: nanna on Mar 29, 2022

Question 1

To hedge a bond portfolio against rising interest rates, an investor should
◦ sell interest rate futures.
◦ buy a stock-index future.
◦ buy Treasury Notes.
◦ buy interest rate futures.

Question 2

To hedge a bond portfolio, an investor should use
◦ a foreign-currency future.
◦ a stock-index future.
◦ a certificate of deposit.
◦ an interest rate future.

Title: To hedge a bond portfolio, an investor should use
Post by: Htimsrs on Mar 29, 2022

Answer 1

sell interest rate futures.

Answer 2

an interest rate future.