In Which of the Following FX Trading Activities Does the FI

question 18

Multiple Choice

In which of the following FX trading activities does the FI not assume FX risk?

• A)The purchase and sale of foreign currencies for the purpose of profiting from forecasting or anticipating future movements in FX rates.
• B)The purchase and sale of foreign currencies to allow customers to partake in and complete international commercial trade transactions.
• C)The purchase and sale of foreign currencies for the purpose of offsetting customer exposure in any given currency.
• D)The purchase and sale of foreign currencies to allow customers to take positions in foreign real and financial investments.
• E)In both the purchase and sale of foreign currencies to allow customers to partake in and complete international commercial trade transactions, and the purchase and sale of foreign currencies to allow customers to take positions in foreign and real and financial investments.

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Definitions:

Crisis

A critical or volatile situation that requires immediate attention and action to prevent or mitigate damage.

Cycle Of Failure

A repetitive pattern of efforts that fail to achieve desired outcomes, often leading to demotivation and further failure.

Self-Esteem

An individual's subjective evaluation of their own worth or value, which can influence emotional states, behavior, and overall mental health.

Self-Concept

An individual's perception and evaluation of themselves, encompassing beliefs and feelings about personal abilities, appearance, and values.