What is basis risk

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What is basis risk? What are the sources of basis risk? How would your answer for part (b) in problem 3 change if the relationship of the price sensitivity of futures contracts to the price sensitivity of underlying bonds were br = 0.92?

Reference no: EM133276091

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What is basis risk : What is basis risk? What are the sources of basis risk? How would your answer for part (b) in problem 3 change if the relationship of the price sensitivity of f
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