=+25. Today is 10 August and the spot price of an XYZ share is £5. Also, European calls and puts on XYZ with strikes £3.5, £4, £4.5, £4.75, £5,

£5.25, £5.5 and with maturities in September, November this year and January next year are now sold on the market. The XYZ’s executive board will meet on 7 October this year to discuss the possible acquisition of another firm. You believe that, following this meeting, the XYZ share price will either go up or down by about 10% and will stay at that level for at least a month. Which portfolio of options would perform well if your guess were correct? (Neglect any transaction costs.)