Suppose a futures margin account pays interest but at a, Financial Management

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Suppose a futures margin account pays interest but at a

Suppose a futures margin account pays interest but at a rate that is less than the risk-free rate. Consider a trader who buys the asset and sells futures to form a risk-free hedge. Would the trader believes the futures price should be lower or higher than if the margin account paid interest rate at the risk-free rate?

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Financial Management: Suppose a futures margin account pays interest but at a

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Financial Management: Suppose a futures margin account pays interest but at a

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