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Adverse changes to the value of a portfolio that is delta neutral but highly gamma positive: a.are caused by large increases in the value of

Adverse changes to the value of a portfolio that is delta neutral but highly gamma positive:

a.are caused by large increases in the value of the underlying.

b.are caused by large decreases in the value of the underlying.

c.can be hedged by taking a long position in the underlying.

d.can be hedged by taking a short position in the underlying.

e.cannot be hedged by taking any position in the underlying.

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