Hedging is a form of risk insurance that can protect both parties from currency fluctuations.

Name: Hedging is a form of risk insurance that can protect both parties from currency fluctuations.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Hedging involves taking a position in the market to reduce the risk of potential losses due to currency fluctuations. This can be beneficial for both parties involved as it can provide protection against potential financial losses.

Hedging Is a Form of Risk Insurance That Can Protect