- CFA Exams
- CFA Exam: Level I 2021
- Study Session 16. Derivatives
- Reading 48. Derivative Markets and Instruments
- Subject 3. Forward Commitments
CFA Practice Question
Futures contracts differ from forward contracts in which of the following ways?
II. Futures contracts require a daily settling of any gains or losses.
III. Futures contracts are standardized.
I. Performance of each party in a futures transaction is guaranteed by a clearinghouse.
II. Futures contracts require a daily settling of any gains or losses.
III. Futures contracts are standardized.
Correct Answer: I, II and III
User Contributed Comments 1
| User | Comment |
|---|---|
| johntan1979 | Nice summary |