Assume you are a US importer with an account payable denominated in New Zealand dollars to be paid to you in six months. You are considering different approaches to hedge currency risk. Based on you analysis, the US dollar hedged amount of the payable is as follows, by hedging approach:

Forward market hedge - $552,000

Money market hedge - $531,000

Options market hedge - $538,000

No hedge - $564,000

Which approach is most appropriate?

1. Forward market hedge
2. Money market hedge
3. No hedge
4. Option market hedge