NO.PZ2022123002000050
问题如下：
Huanca recently received 3.2 million common stock shares of Urubamba
Copper, Ltd. in partial payment for a mining equipment company he sold to
Urubamba. The terms of the sale require him to hold this stock for at least 18
months before selling it. Although Huanca believes Urubamba is a well-run
company, its share price is closely tied to commodity prices, which he believes
might decline. He tells Mamani, "I know I can use options on Urubamba to
manage the risk of my concentrated stock position. Either a covered call
strategy or a protective put strategy will reduce the volatility of my position
and establish a minimum value for it, but the covered call strategy will also
enhance my return if Urubamba's price remains stable, and the protective put
strategy will not."
Huanca's
comment about using options to manage the risk of his Urubamba common stock
position is least likely correct regarding:
选项：
A.establishing
a minimum value
reduction
of volatility
return
enhancements
解释：
Correct Answer: A
Although a
protective put establishes a minimum value for the position when the price of
the underlying stock declines, a covered call does not. Therefore, Huanca's
statement is incorrect.
protective put 有个主要功能是buy insurance. 而covered call 有三个功能 return enhance; reduce a position; sell stock at target price. 在本题目中体现ruduction of a volatility 是从哪个方向考虑？
