Question: Part b. (15 points) Consider you are a risk averse investor in foreign exchange rate market. You have two types of contracts you can use

 Part b. (15 points) Consider you are a risk averse investor

Part b. (15 points) Consider you are a risk averse investor in foreign exchange rate market. You have two types of contracts you can use while investing in this market: forwards and spot contracts. Which one do you prefer and why? Briefly explain

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