Why does an increase in the volatility of foreign exchange rates increase the value of foreign currency

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Why does an increase in the volatility of foreign exchange rates increase the value of foreign currency options?

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International Financial Management

ISBN: 978-0132162760

2nd edition

Authors: Geert Bekaert, Robert J. Hodrick

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Question Posted: May 28, 2012 02:44 AM

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Why does an increase in the volatility of foreign exchange rates increase the value of foreign currency

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International Financial Management

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