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1. (20 points) I wish to speculate on a stock, and I believe that the stock price will soon experience a drastic increase in volatility.
1. (20 points) I wish to speculate on a stock, and I believe that the stock price will soon experience a drastic increase in volatility. I do not know how the stock price will change through this. Give an example of an investment strategy (a spread or similar construction) that I should use in this situation, and briefly explain why
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