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6. Assume Redflag, an equity event hedge fund, held a 5% (as a percentage of the Funds equity capital) short position in Volkswagen during October,

6. Assume Redflag, an equity event hedge fund, held a 5% (as a percentage of the Funds equity capital) short position in Volkswagen during October, 2008, based upon a market price of 200 euros per share. If Volkswagen shares then soared to 1,005 euros per share, what would that individual position have cost the Fund in terms of the Funds overall return? [Note: you can assume the Fund did not have to make any payments of Volkswagen dividends or other fees related to this position during this period.]

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