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Which of the following are advantages of synthetic positions, relative to trading a derivative? You do not have to find a counterparty or worry about
Which of the following are advantages of synthetic positions, relative to trading a derivative?
You do not have to find a counterparty or worry about their ability to uphold the contract | ||
You can customize the position to your exact needs without needing to negiotiate anything with anyone | ||
It is simpler to construct than trading an option or future | ||
You can hedge against risk, which options and futures cannot |
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