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Consider a one period binomial model, and an investment bank who sold an European call option on the XYZ stock. The bank sets up a

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Consider a one period binomial model, and an investment bank who sold an European call option on the XYZ stock. The bank sets up a hedging portfolio to hedge (replicate) the European call option. Show that the number of shares of the XYZ stock in the hedging (replicating) portfolio is positive

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