Fundamentals of Futures and Options Markets, John C. Hull, Pearson, Ninth Edition.

Problem 4.1. (a) Define the hedge performance measure specified by the textbook (Hull, chapter 17) to assess the performance of a hedging strategy. (6) Why can this performance measure not be reduced to zero? Problem 4.1. (a) Define the hedge performance measure specified by the textbook (Hull, chapter 17) to assess the performance of a hedging strategy. (6) Why can this performance measure not be reduced to zero