The following figure shows the payoff of a common strategy called spread. Explain how you could create
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The following figure shows the payoff of a common strategy called spread.
Explain how you could create the strategy by using either vanilla calls or vanilla puts. What is the difference between the two implementations in terms of cash flow timing?
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Related Book For 
An Introduction To Financial Markets A Quantitative Approach
ISBN: 9781118014776
1st Edition
Authors: Paolo Brandimarte
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