Using Options to Reduce Risk Is Called

question 54

Multiple Choice

Using options to reduce risk is called:

• A)speculation.
• B)a naked position.
• C)hedging.
• D)a covered position.

---

Definitions:

Trust

Confidence in the honesty, integrity, reliability, and fairness of a person or system.

Major Institutions

Key established organizations or foundations, especially those influential in society, like schools, hospitals, or banks.

Decreased Substantially

Reduced in size, amount, or extent by a large margin.

Motivation

The process that initiates, guides, and maintains goal-oriented behaviors, driving individuals to pursue and achieve their objectives.