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What Is an Advantage of Using Forward Contracts Instead of Options

question 105

Essay

What is an advantage of using forward contracts instead of options to hedge against exchange-rate risk?


Definitions:

Avenues of Communication

Various methods or channels through which information can be conveyed between people or entities.

Downtrodden

Describes individuals or groups that are oppressed, disadvantaged, or in a state of despair, often due to socio-economic conditions.

Avenues of Communication

Various methods or channels through which information or messages can be conveyed between individuals or groups.

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