In comparing forwards and futures,futures are typically:
A) riskier than forwards.
B) more liquid than forwards.
C) traded on an organised exchange.
D) all of the given choices.

Question

Quizplus · Accepted Answer

Futures are standardized contracts traded on an organized exchange, making them more liquid and typically riskier than forwards, which are customized contracts traded over-the-counter.

In Comparing Forwards and Futures,futures Are Typically