Which of the Following Are True Regarding the Options Markets

question 23

Multiple Choice

Which of the following are true regarding the options markets

• A) Hedgers and speculators both attempt to lower risk.
• B) Hedgers attempt to lower risk, while speculators attempt to make riskless profits.
• C) Hedgers and speculators are both necessary in order for the market to be liquid.
• D) all of the above

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Definitions:

Global Market

An international marketplace where goods, services, currencies, and information are exchanged across national borders.

Payment Methods

Various ways in which transactions can be settled, including cash, credit cards, checks, and digital payments.

Government Regulations

Rules or laws established by the government to control or direct the actions of individuals, businesses, or other entities within a society.

Reliability

The degree to which an instrument, tool, or process consistently produces the same results under the same conditions.