Investing in Stock Index Futures Is One Way to Reduce

question 9

True/False

Investing in stock index futures is one way to reduce or eliminate unsystematic risk.

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Definitions:

Marco Polo's Travels

The journeys of the Venetian merchant and explorer Marco Polo in the late 13th century, which are famously documented in "The Travels of Marco Polo," describing his experiences in Asia.

Direct Trade

A commercial model that aims to reduce the number of intermediaries in the supply chain, often in an effort to ensure fairer prices for producers and closer relations between consumers and producers.

West Africa

A region in the western part of the African continent, consisting of many countries, notable for its diverse cultures, languages, and histories.

Portuguese Merchants

Refers to traders from Portugal who were particularly active during the Age of Discovery, engaging in commerce around the world, especially in spices, gold, and slaves.