Why do stock index options involve cash settlement rather than delivery of the underlying stocks?

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Foundations Of Financial Markets And Institutions

ISBN: 9780136135319

4th Edition

Authors: Frank J Fabozzi, Franco G Modigliani, Frank J Jones

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Question Posted: Mar 02, 2024 05:01 AM

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Why do stock index options involve cash settlement rather than delivery of the underlying stocks?

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Answer Stock index options typically involve cash settlement rather than the physical delivery of underlying stocks for several reasons Logistical Com...View the full answer

Foundations Of Financial Markets And Institutions

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