A trader wishes to hedge the purchase of 100000 widgets in 4 months time The trader notes that futures contracts trade on grommets, maturing in 5 months time, and each contract covers 6000 grommets The standard deviation of spot widget prices is 0 53, the standard deviation of the grommet futures ...

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A trader wishes to hedge the purchase of 100000 widgets in 4 months time. The trader...

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A trader wishes to hedge the purchase of 100000 widgets in 4 months time. The trader notes that futures

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A trader wishes to hedge the purchase of 100000 widgets in 4 months time. The trader...

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