Question: Question You are given the following information about two options, A and B, on the same stock: AB Delta 0.56 -0.41 Gamma 0.07 0.09 You

Question You are given the following information about two options, A

Question You are given the following information about two options, A and B, on the same stock: AB Delta 0.56 -0.41 Gamma 0.07 0.09 You have just sold 500 units of B. You wish to Delta-Gamma-hedge your position. Which of the following is true? Possible Answers A You need to sell 643 units of A and 565 shares of stock. You need to buy 643 units of A and 565 shares of stock. C You need to sell 643 units of A and buy 565 shares of stock. D You need to buy 643 units of A and sell 565 shares of stock. E None of the above is correct

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