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You invest in 20 million in British bonds paying 10% interest that will mature in 1 year. You are afraid that $ will become stronger

You invest in 20 million in British bonds paying 10% interest that will mature in 1 year. You are afraid that $ will become stronger in the future against the . The futures price is 1 = $1.60. How can you hedge against exchange rate risk using futures? I contract is for 62,500. Osell 320 contracts Obuy 352 contracts O sell 352 contracts O sell 220 contracts Obuy 220 contracts buy 320 contracts

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