CFA Practice Question

There are 277 practice questions for this topic.

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 ______.

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
You need to log in first to add your comment.