Which Two of the Following Are Key to Making SPX

question 22

Multiple Choice

Which two of the following are key to making SPX options an easy choice as a hedge against an equity portfolio?
I.European style
II.American style
III.trade in whole or partial contracts
IV.cash settlement

• A) III only
• B) I and III only
• C) I and IV only
• D) II and III only
• E) II and IV only

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Definitions:

Holistic View

an approach that emphasizes the importance of understanding the whole picture or system rather than focusing on its individual parts.

Research Subject

An individual or group of individuals on whom or which research is conducted to gather data and gain insights.

Dynamics

The forces or properties that stimulate growth, development, or change within a system or process.

Specific Theory

A detailed and precise theory that explains a particular phenomenon or aspect of a larger phenomenon.