Question: A default - free foreign bond would be exactly equivalent to a default - free domestic bond if:Select one A . The principal payment at

A default-free foreign bond would be exactly equivalent to a default-free domestic bond if:Select one A. The principal payment at maturity is currency-hedged into the domestic currency. B. Each cash flow is currency-hedged to its specific due date. C. A rolling hedge of the foreign currency value is maintained throughout the holding period. D. The exchange rate is fixed and the initial yields are the same.

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