An Individual with a Large Stock Portfolio Can Hedge the Position

question 7

Multiple Choice

An individual with a large stock portfolio can hedge the position by

• A)entering a stock index futures to buy
• B)entering a stock index futures to sell
• C)selling the stocks
• D)maintaining the positions

---

Definitions:

Tunica Interna

Also known as the intima, it is the innermost layer of a blood vessel, lining the lumen.

Tunica Intima

The innermost layer of a blood vessel, consisting of a thin layer of endothelial cells that line the lumen.

Tunica Externa

The outermost layer of a blood vessel, composed largely of connective tissues, which provides support and protection.

Tunica Media

The middle layer of the wall of a blood vessel or lymph vessel which is made up of smooth muscle cells and elastic tissue.