EFTA Document EFTA01393135

4. Readers intending to use index options to hedge against the market risk entailed in investing in individ- ual securities should recognize the complexities of utilizing index options in this mariner. Market risk is the risk that factors affecting the stock market as a whole may have a similar effect on the price of a particular equity security. Historically, some securities have tended to be highly sensitive to factors influencing the market generally; others less so. As a result, diff