You have a short position of 50 EURODOLLAR futures contracts. You can hedge your position by:
A) Selling a FRA for a similar notional amount
B) Buying a FRA for a similar notional amount
C) Selling a call option on the contract
D) Selling a put option on the contract

Question

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The Answer of You have a short position of 50 EURODOLLAR futures contracts. You can hedge your position by:
A) Selling a FRA for a similar notional amount
B) Buying a FRA for a similar notional amount
C) Selling a call option on the contract
D) Selling a put option on the contract

You Have a Short Position of 50 EURODOLLAR Futures Contracts