Figure 5. Sensitivity of Optimal Hedge Ratios in Response to Risk Aversion
0.4
Optimal Hedge Ratio
0.35
0.3
0.25
0.2
0.15
0.1
0.05
-3.2 -2.7 -2.2 -1.7 -1.2 -0.7 -0.2 0.3 0.8
40
Figure 5. Sensitivity of Optimal Hedge Ratios in Response to Risk Aversion
0.4
Optimal Hedge Ratio
0.35
0.3
0.25
0.2
0.15
0.1
0.05
-3.2 -2.7 -2.2 -1.7 -1.2 -0.7 -0.2 0.3 0.8
40