Th e trustees of a pension fund would like to examine the issue of protecting the bonds in the fund’s portfolio against an increase in interest rates using options and futures. Before discussing this with their external bond fund manager, they decide to ask four consultants about their recommendations as to what should be done at this time. It turns out that each of them has a diff erent recommendation. Consultant A suggests selling covered calls, Consultant B suggests doing nothing at all, Consultant C suggests selling interest rate futures, and Consultant D suggests buying puts. Th e reason for their diff erent recommendations is that although all consultants understand the pension fund’s objective of minimizing risk, they diff er with one another in regards to their outlook on future interest rates. One of the consultants believes interest rates are headed downward, one has no opinion, one believes that the interest rates would not change much in either direction, and one believes that the interest rates are headed upward. Based on the consultants’ recommendations, could you identify the outlook of each consultant?