WHEN USING SHARES TO DELTA HEDGE A LONG CALL OPTION POSITION, A...

52. - CFA 2018 EXAM LEVEL 3 DA4387 LEVEL III CFA MOCK EXAM 2018 AFTERNOON A
CFA 2018 EXAM LEVEL 3 DA4387 LEVEL III CFA MOCK EXAM 2018 AFTERNOON A

52. When using shares to delta hedge a long call option position, after a rise in the underlying share

price, the hedger will need to rebalance the position by:

A. increasing a short stock position.

B. reducing a long stock position.

C. reducing a short stock position.