A hedge ratio for a put is always
A)equal to one.
B)greater than one.
C)between zero and one.
D)between minus one and zero.
E)of no restricted value.

Name: A hedge ratio for a put is always A)equal to one. B)greater than one. C)between zero and one. D)between minus one and zero. E)of no restricted value.
Brand: Quizplus
Rating: 4.9 (35 reviews)

Question

Quizplus · Accepted Answer

Call option hedge ratios must be positive and less than 1.0, and put option ratios must be negative, with a smaller absolute value than 1.0.

A Hedge Ratio for a Put Is Always