In comparing futures contracts with options contracts, we can say that
A)in a futures contract, the buyer and seller have symmetric rights, whereas in an options contract, the buyer and seller have asymmetric rights.
B)in a futures contract, the buyer and seller have asymmetric rights, whereas in an options contract ,the buyer and seller have symmetric rights.
C)in both futures and options contracts, the buyer and seller have symmetric rights.
D)in both futures and options contracts, the buyer and seller have asymmetric rights.

Question

Quizplus · Accepted Answer

In a futures contract, both the buyer and seller are obligated to fulfill the contract at the specified price and date, giving them symmetric rights. In contrast, an options contract grants the buyer the right, but not the obligation, to buy or sell at a specified price, making the rights asymmetric as the seller has the obligation to fulfill the contract if the buyer decides to exercise the option.

In Comparing Futures Contracts with Options Contracts, We Can Say