How are options different from futures and forwards? Options give one the right,

ID: 1212995 • Letter: H

Question

How are options different from futures and forwards?

Options give one the right, but not the obligation to conduct the trade

Futures and forwards give one the right, but not the obligation to conduct the trade

Options only give the right to buy, but not sell currency

Options only give the right to sell, but not buy currency

Options give one the right, but not the obligation to conduct the trade

Futures and forwards give one the right, but not the obligation to conduct the trade

Options only give the right to buy, but not sell currency

Options only give the right to sell, but not buy currency

Options give one the right, but not the obligation to conduct the trade

is correct

as Options is a contract that gives right to buy and sell , but no obligation for the buyer of option.

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.