Australia's Most Liquid Market for Interest Rate Options Are Options

question 51

Multiple Choice

Australia's most liquid market for interest rate options are options over:

• A)Bank bills
• B)Treasury bills
• C)Treasury bonds
• D)Interest rate swaps
• E)Bank bill futures

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Definitions:

Payout Ratio

The proportion of earnings paid out as dividends to shareholders, typically expressed as a percentage of the company's total net income.

Current Dividends

Dividends that are declared and paid to shareholders out of a company's current earnings or accumulated profits.

Future Dividends

Expected payments made by a corporation to its shareholder members based on future earnings, typically projected by the company’s management or analysts.

Target Payout Ratio

A goal set by a company to distribute a certain percentage of earnings to its shareholders in the form of dividends.