Question: Which of the following statement is FALSE about the difference of speculators and hedgers when both use derivatives? speculators start with naked position on the

 Which of the following statement is FALSE about the difference of

Which of the following statement is FALSE about the difference of speculators and hedgers when both use derivatives? speculators start with naked position on the underlying assets. hedgers have pre-determined position to receive or to pay underlying assets in the future. Hedgers take short position on the futures contract or buy put option on the underlying asset when they are going to receive the underlying asset in the future. Speculators take short position always

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