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Naive Versus Conditional Hedging Strategies: The...
Journal article

Naive Versus Conditional Hedging Strategies: The Case of Canadian Stock Index Futures

Abstract

Abstract The hedging performance of Canadian stock index futures, namely the now defunct TSE 300 contract and the TSE 35 currently trading on the Toronto Futures Exchange, is investigated since inception in early 1984. Results utilizing a conditional hedging strategy are compared to more naive procedures. No value added is apparent for the more complex methodology. This is probably due to the Canadian market's high degree of arbitrage …

Authors

Deaves R

Journal

Canadian Journal of Administrative Sciences / Revue Canadienne des Sciences de l Administration, Vol. 11, No. 3, pp. 264–270

Publisher

Wiley

Publication Date

September 1994

DOI

10.1111/j.1936-4490.1994.tb00066.x

ISSN

0825-0383