Which of the following statements is the most accurate for a long dated hedge using futures contracts? O Futures contract with maturity that closest but prior to the end of the hedge period should be chosen O Futures contract with maturity that is closest to the end of the hedge period should be chosen O Futures contract with maturity that closest but beyond to the end of the hedge period should be chosen O Futures contract with the shortest maturity should be chosen

Essentials Of Investments
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ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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question 14  please quickly thanks !!!

Question 14
Which of the following statements is the most accurate for a long dated hedge using futures
contracts?
O Futures contract with maturity that closest but prior to the end of the hedge period should be chosen
O Futures contract with maturity that is closest to the end of the hedge period should be chosen
O Futures contract with maturity that closest but beyond to the end of the hedge period should be chosen
O Futures contract with the shortest maturity should be chosen
Transcribed Image Text:Question 14 Which of the following statements is the most accurate for a long dated hedge using futures contracts? O Futures contract with maturity that closest but prior to the end of the hedge period should be chosen O Futures contract with maturity that is closest to the end of the hedge period should be chosen O Futures contract with maturity that closest but beyond to the end of the hedge period should be chosen O Futures contract with the shortest maturity should be chosen
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