Question: Though a cross hedge has somewhat higher nisk than an ordinary heage, it will reouce nisk if which or the following occurs? none of the

Though a cross hedge has somewhat higher nisk than an ordinary heage, it will reouce nisk if which or the following occurs?
none of the above
spot and futures prices are positively correlated
futures prices are more volatite than spot prices
futures prices are less volatile than spot prices
the spot and futures contracts are correct priced at the onset
Though a cross hedge has somewhat higher nisk

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