In the Context of Managing Exchange Rate Risks, Which of the Following

question 36

Multiple Choice

In the context of managing exchange rate risks, which of the following is true of a future?

• A) Currencies are traded on an exchange.
• B) A future is completely different from a forward contract.
• C) A trader is committed to couple a spot transaction with a forward transaction.
• D) Currencies are purchased from a bank.

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