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A speculator has a portfolio consisting of one short position on a European call option on a share. Explain what this means and sketch the
A speculator has a portfolio consisting of one short position on a European call
option on a share. Explain what this means and sketch the position diagram a
diagram of the overall profitloss at expiry against the security price at expiry for
this portfolio assuming that no dividends are payable, and that the initial option
premium was c
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