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Urgent question for finance! AB has 500g of gold. Suppose the gold price is RM100 per gram in the cash market. The delivery price for
Urgent question for finance!
AB has 500g of gold. Suppose the gold price is RM100 per gram in the cash market. The delivery price for a short position in forward/futures market is RM90 per gram. AB is worried that the gold price is starting to drop during the past few weeks. How can AB use forward/futures contract to hedge his investmentStep by Step Solution
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