If Foreign Currency Exchange Rates Are Highly Positively Correlated,how Can

question 21

Multiple Choice

If foreign currency exchange rates are highly positively correlated,how can a FI reduce its exchange rate risk exposure?

• A)By taking net long positions in all currencies.
• B)By taking net short positions in all currencies.
• C)By taking opposing net short and net long positions in different currencies.
• D)By maximizing net FX exposure in each currency,independently.

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FAT32

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A type of security lock on mobile devices and computers that requires a valid and stored fingerprint to be matched with the fingerprint of the person trying to gain access.

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A technology capable of identifying or verifying the identity of a person using their face.