Question

What significant role do Hedge Funds play in the foreign exchange market?

a.

Speculative transactions and investment

b.

Payment of goods and services

c.

Facilitates inter-bank dealings

d.

Manages commercial turnover of currencies

Answer: (a).Speculative transactions and investment Explanation:Hedge Funds are a major source of international finance, engaging in speculative transactions and investment in the foreign exchange market.

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Q. What significant role do Hedge Funds play in the foreign exchange market?

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