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Investors want to protect against downside risk. Which of the following transactions creates a floor, such that losses are limited? A. Buying a futures contract.
Investors want to protect against downside risk. Which of the following transactions creates a floor, such that losses are limited? A. Buying a futures contract. B. Buying a call option. C. Selling a call option. D. Buying a put option.
Investors want to protect against downside risk. Which of the following transactions creates a floor, such that losses are limited?
A. Buying a futures contract.
B. Buying a call option.
C. Selling a call option.
D. Buying a put option.
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