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Which of thefollowing scenarios would be when a portfolio manager might use Delta hedging? A. When the market remains fairly stable and the volatility is
Which of thefollowing scenarios would be when a portfolio manager might use Delta hedging?
A. | When the market remains fairly stable and the volatility is low | |
B. | When the portfolio value is less than $50,000 | |
C. | When the portfolio is not well diversified and only has 2 or 3 stocks | |
D. | When there is a large, well diversified portfolio and there is concern that there may be sharp drop in the overall market in the near future |
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