What kind of an option should you purchase if you anticipate selling $1 million of Treasury bonds

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What kind of an option should you purchase if you anticipate selling $1 million of Treasury bonds in one year’s time and wish to hedge against the risk of interest rates rising?

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Money Banking and Financial Markets

ISBN: 978-0078021749

4th edition

Authors: Stephen Cecchetti, Kermit Schoenholtz

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Question Posted: Oct 02, 2014 07:58 AM

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What kind of an option should you purchase if you anticipate selling $1 million of Treasury bonds

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You could purchase a put option that gives you as the holder the right but not the ...View the full answer

Money Banking and Financial Markets

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