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Comparing forward and futures exchange contracts, we can say that: A) They are both marked-to-market daily. B) Their major difference is in the way the
Comparing "forward" and "futures" exchange contracts, we can say that:
A) They are both "marked-to-market" daily.
B) Their major difference is in the way the underlying asset is priced for future purchase or sale: futures settle daily and forwards settle at maturity.
C) A futures contract is negotiated by open outcry between floor brokers or traders and is traded on organized exchanges, while forward contract is tailor-made by an international bank for its clients and is traded OTC.
D) b) and c)
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