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Basic Question 5 of 9

A derivative used to offset the fluctuation in fair value of an asset or liability is an example of:

A. Cash Flow Hedge
B. Fair Value Hedge
C. Net Investment Hedge

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I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt

Martin Rockenfeldt

Learning Outcome Statements

compare the use of derivatives among issuers and investors

CFA® 2025 Level I Curriculum, Volume 5, Module 3.