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You wrote in the answer 31.3: "Then for a small yield change, the bullet outperforms due to its relative yield advantage...". However, the answer was given as A: "Barbell outperforms bullet". Is this a trivial typo or is there anything deep as you wrote: "please note that EXPECTED RETURN is...

Question 3.6. is as following: "Option writers (market makers who take short positions) are averse to high delta call options but prefer low delta call options?" You wrote: "Because supply is lower for OTM call options (delta nearer to zero!) and supply is higher for ITM call options (delta...