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All of the following is correct about options EXCEPT:

Select one:

a. A European-type option can only be exercised at maturity.

b. An option contract allows a hedger to cover the downside of a risk exposure but still take advantage of any possible upside in price movements.

c. The premium is paid by the option buyer, to the option writer, at the start of the contract.

d. With a put option, the writer retains the full premium so long as the current market price is below the exercise price.

e. Exchange-traded options are covered options, whereby the option clearing house guarantees completion of every contract.