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( 2 0 points ) The gamma and vega of a delta - neutral portfolio are 5 0 and 2 5 , respectively, where the

(20 points) The gamma and vega of a delta-neutral portfolio are 50 and 25, respectively,
where the vega is "per %". Estimate what happens to the value of the portfolio when
there is a shock to the market causing the underlying asset price to decrease by $3 and
its volatility to decrease by 5%.
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