Describe how derivatives are used as a risk management tool-02150

Online Quiz This subjective question is related to the book/course vu mgt611 Business & Labor Law. It can also be found in vu mgt611 Mid Term Solved Past Paper No. 1.

Question 1: Describe how derivatives are used as a risk management tool.

Answer:

Risk management

The equity manager's market risk or the bond manager's interest rate risk is analogous to the farmer's price risk.

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