3. Market makers earn a profit in both exchange and over-the-counter derivatives markets by: A. charging a

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3. Market makers earn a profit in both exchange and over-the-counter derivatives markets by:

A. charging a commission on each trade.

B. a combination of commissions and markups.

C. buying at one price, selling at a higher price, and hedging any risk.

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Derivatives

ISBN: 9781119850571

1st Edition

Authors: CFA Institute

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Question Posted: Oct 23, 2024 08:04 AM

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3. Market makers earn a profit in both exchange and over-the-counter derivatives markets by: A. charging a

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Derivatives

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