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Collar for options

DBDuy Bach8y ago
Hi John, The collar was only discussed in the textbook for Interest rate options. I wonder if Foreign currency options can also use Collar strategy to reduce premium cost? I think it would be perfectly fine but just want to confirm Thanks
John MoffatJohn MoffatTutor8y ago#1
In principle it could be done, but in the exam collars always relate to interest rate options.
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