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(8) Let's say you are going to hedge a portfolio and you remember the Greek Letters. What do you need to think about when you

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(8) Let's say you are going to hedge a portfolio and you remember the Greek Letters. What do you need to think about when you establish a hedge ratio? Hint: when might you need a "dynamic" hedging strategy versus "a hedge and hold" and how does that relate to the different inputs into Black-Scholes model. (10 points)

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