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6 In relation to futures and forwards: Select one: a. In times of high volatility in futures markets, initial margins are decreased. b. Futures differ

6

In relation to futures and forwards:

Select one:

a. In times of high volatility in futures markets, initial margins are decreased.

b. Futures differ from forwards as futures are standardised contracts.

c. The majority of financial futures are not closed out until expiry date.

d. A forward rate agreement is a derivative for foreign exchange rates.

e. Most forward contracts are traded on formal exchanges.

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