A Hedge Constructed Using a Put Foreign Currency Option Would

question 31

True/False

A hedge constructed using a put foreign currency option would protect you against value losses, but allow, at the same time, the possibly reap value increases in the event the exchange rate moved in your favor.

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Definitions:

Prehensility

The ability of certain body parts, like tails or fingers, to grasp or hold objects, often seen in primates and some other animals.

Brachiation

Moving from branch to branch using the arms, with the body hanging suspended below.

Manipulate Objects

the ability to control and move items in the environment using physical contact, typically involving hands or tools.

Gorillas

Large apes native to the forests of central Sub-Saharan Africa, known for their intelligence and complex social structures.