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If you were to formulate a strategy to hedge the gold inventory, would you agree...

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Finance

If you were to formulate a strategy to hedge the gold inventory, would you agree with the jeweler who made the following remark -

Ive hedged my inventory of gold with gold futures contracts, so my inventory is perfectly hedged against changes in gold prices.

Please provide some examples to support why you agree or disagree with the remark above.

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