Concerning Stock Index Options, Which of the Following Statements Is

question 10

Multiple Choice

Concerning stock index options, which of the following statements is false?

• A) Index options appeal to speculators due to the leverage they offer.
• B) Investors can write index options.
• C) If exercised, the holder of a stock index call receives the underlying stock.
• D) Index options are settled in cash.

---

Definitions:

Interactive Systems

Systems designed to respond to inputs or actions from users, facilitating two-way communication and engagement.

Complex Adaptive Systems

Systems that are composed of interacting components which may adapt or learn from their interactions, often seen in natural and human-made systems.

Technological Attributes

Characteristics or features of technology, including hardware and software, that define their capabilities, functionalities, and performance.

Project Complexity

A measure of the various intricate factors and elements within a project, including its structure, governance, and uncertainty levels, that can affect its execution and outcome.