Master the Currency Market
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Questions and Answers

What is a currency?

  • A form of money issued by a government (correct)
  • A type of stock
  • A basic good used in commerce
  • A type of bond
  • What is the advantage of trading currencies?

  • Natural safeguards against inflation
  • Associated positively with equities and bonds
  • Low volatility
  • Largest market in the world in terms of trading volume (correct)
  • What is the disadvantage of investing in commodities?

  • Impractical to invest directly considering storage, transportation and insurance costs involved (correct)
  • Volatile and trades 24-hours a day
  • Has a large market in terms of trading volume
  • Uses margin trading which allows clients to bet more than their capital
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