Question
Consider the following statements about the participants
in the derivatives market: 1. Hedgers use derivatives to manage or mitigate risk by taking positions opposite to their current holdings. 2. Speculators use derivatives to bet on future price movements, aiming to profit from market fluctuations. 3. Arbitrageurs exploit price differences in different markets to earn risk-free profits. 4. Brokers act as intermediaries, facilitating the trade of derivatives between buyers and sellers.Solution
Each participant has a unique role in the derivatives market, contributing to its overall functionality and liquidity.
More Financial Management Questions
Find the missing number in the given number series.
1, 2, 3, 6, 11, 20, ?6, 7, 15, 46, 185, ?
81 72 136 111 ? 278
...84, 105, ?, 168, 210, 259
48, 95, 283, 1129, ?, 33841
Choose the missing term.
3F, 6G, 11I, 18L,?
- What will come in place of (?), in the given number series.
2, 3, 5, 8, 12, ? 290, 571, 900, ?, 1485, 1890
226  231   466  ?  5606  28031    Â
0, 6, 24, ?, 120, 210