- CFA Exams
- CFA Level I Exam
- Topic 7. Derivatives
- Learning Module 2. Forward Commitment and Contingent Claim Features and Instruments
- Subject 2. Contingent Claims: Options
CFA Practice Question
All of the below refer to the same party in an options transaction except for ______.
B. option writer
C. option owner
D. holder of a LONG option position
A. option buyer
B. option writer
C. option owner
D. holder of a LONG option position
Correct Answer: B
User Contributed Comments 7
| User | Comment |
|---|---|
| Bibhu | All other refer to the purchaser. |
| magicchip | writer=seller |
| viannie | and also: writer = issuer |
| group | An option writer could be an option seller or buyer, a good question |
| jpducros | I don't think so group: an option writer is always an option seller. |
| poomie83 | you wouldn't write (sell) an option and buy it yourself |
| To-be-CFA | Option writer is the option seller. |