Derivatives Quiz

• A type of stock
• A foreign currency
• A financial contract based on an underlying asset or benchmark (correct)
• A type of bond

• To reduce interest rates
• To increase foreign exchange rates
• To shift risk (correct)
• To create new financial products

• The right to buy or sell a security at any time
• The obligation to buy or sell a security at a specified price
• The obligation to buy or sell a security
• The right to buy or sell a security at a specified price during a given time (correct)

<p>The right to sell a security (D)</p> Signup and view all the answers