Suppose that A is an individual investor and OL represents other investors. All the investors who...

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Finance

Suppose that A is an individual investor and OLrepresents other investors. All the investors who hold shortpositions are denoted by SH.

Currently, A holds 2,000 contracts long and OL holds4,200 long contracts.

Starting with the current holdings, determine theholdings of A, OL, SH, as well as the volume and the Open Interestafter each of the following transactions and theend result:

Day 0. Current holdings.

Day 1. A shorts 500 contracts and OL longs 500contracts

Day 2. A longs 700 contracts and OL shorts 700contracts

Day 3. A longs 200 contracts and SH shorts 200contracts

Day 4. A shorts 800 contracts and SH longs 800contracts

Suppose that A is an individual investor and OLrepresents other investors. All the investors who hold shortpositions are denoted by SH.

Currently, A holds 2,000 contracts long and OL holds4,200 long contracts.

Starting with the current holdings, determine theholdings of A, OL, SH, as well as the volume and the Open Interestafter each of the following transactions and theend result:

Day 0. Current holdings.

Day 1. A shorts 500 contracts and OL longs 500contracts

Day 2. A longs 700 contracts and OL shorts 700contracts

Day 3. A longs 200 contracts and SH shorts 200contracts

Day 4. A shorts 800 contracts and SH longs 800contracts

Answer & Explanation Solved by verified expert
4.4 Ratings (774 Votes)
Investor Day 0 Day 1 Day 2 Day 3 Day 4 Buy Sell Contracts Held Buy Sell Contracts Held Buy Sell Contracts Held Buy Sell Contracts Held Buy Sell Contracts Held A 2000L 2000L 500S 1500 700 2200 200 2400 800 1600 Other 4200L 4200L 500L 4700 700 4000 200 3800 800 4600 Contracts OutstandingOpen Interest 6200 6200 6200 6200 6200 Volume 6200    See Answer
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