By using currency options if amount is underhedged we can use, say, forward contract to hedge the amount not covered by options, what if amount is overhedged, how will we treat the over hedged amount?
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currency options
11y ago#1You can still suggest using forward rates, but in that case a forward rate to see the over hedged amount (instead of one to buy the under hedged amount).
Thanks alot.
11y ago#3You are welcome :-)
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