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Assume a leveraged ETF which promises to pay 3X the benchmark, and where the benchmark return is -20% at the end of the day. If

Assume a leveraged ETF which promises to pay 3X the benchmark, and where the benchmark return is -20% at the end of the day. If the initial NAV is 100, how much does the ETF need to rebalance assuming no entry/exit of flows to the fund?

Select one:

a. -200

b. -120

c. -60

d. -20

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