If a hedger wants to place a short hedging with options on Futures contracts (to protect against
Fantastic news! We've Found the answer you've been seeking!
Question:
If a hedger wants to place a short hedging with options on Futures contracts (to protect against a potential output price risk), she needs to take
A. A long position on a call option on the commodity future
B. A short position on a call option on the commodity future
C. A long position on a Put option on the commodity futures
D. A short position on a Put option on the commodity futures
Posted Date: