Free 2016-FRR Web TestEngine Demo

Exit VCEDump 2016-FRR Financial Risk and Regulation (FRR) Series

Q47 Single choice

A risk manager has a long forward position of USD 1 million but the option portfolio decreases JPY 0.50 for every JPY 1 increase in his forward position.
At first approximation, what is the overall result of the options positions?

A
The options positions hedge the forward position by 25%.
B
The option positions hedge the forward position by 50%.
C
The option positions hedge the forward position by 75%.
D
The option positions hedge the forward position by 100%.

Previous Check answer

Question map47 / 52

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52

Current Correct Answered Incorrectly Reviewed 0 Remaining 52

Marked Questions0

No marked questions.

Answered Incorrectly0

No incorrect answers.

2016-FRR Web TestEngine demo