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4.Discuss the role of financial derivatives and how they remove/mitigate the uncertainties in the following scenario. Scenario C: A long-term investor has a blue chip

4.Discuss the role of financial derivatives and how they remove/mitigate the uncertainties in the following scenario.

Scenario C: A long-term investor has a blue chip portfolio, which she is unwilling to liquidate. She does feel that the market may fall in the near future, thus affecting her investments, negatively.

5.What are mutual funds? How do they affect the economy?

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