A Multivariate Option That Has a Claim with a Payoff

question 19

Multiple Choice

A multivariate option that has a claim with a payoff determined by the average of two or more asset prices is known as:

• A) Basket options
• B) Multioptions
• C) Quantos options
• D) Rainbow options

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Definitions:

Stable

A condition or state that remains unchanged over a period of time, showing reliability or consistency.

Stable

Unchanging and consistent over time; a term often used to describe equilibriums or conditions that do not fluctuate drastically.

Attitudes

A psychological tendency expressed by evaluating an entity with some degree of favor or disfavor, shaping our responses toward that entity.

Unconscious

A part of the mind that is inaccessible to the conscious mind but that affects behavior and emotions, according to Freudian psychology.