CFA Practice Question
Market participants that take advantage of misalignments between the prices of futures contracts and the prices of their underlying commodities to earn the riskless profit are called ______.
B. hedgers
C. arbitrageurs
D. traders
A. speculators
B. hedgers
C. arbitrageurs
D. traders
Correct Answer: C
User Contributed Comments 4
User | Comment |
---|---|
rfvo | Why C? |
Vikku | Only arbitrageurs make riskless profits. |
ascruggs92 | The answer is C because that is the definition of arbitrage. |
Inaganti6 | riskless profit = key word |