JAMB Commerce 2019 Objective — Question 30

Question 30 of 40 from the Joint Admissions and Matriculation Board (JAMB) Commerce 2019 Objective paper, with the correct answer and a full explanation.

A good financial instrument which serves as a hedge against inflation is

A. a bond
B. a shareCorrect
C. an option
D. a warrant

Explanation

Because the value of shares changes over time (typically rising with inflation/growth), shares provide a hedge against inflation.

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