Top

Bottom

(200 questions and answers)

*You may search questions related to particular topics using tags provided at the end of each question in braces { }. This page does not have search functionality. You may use "Ctrl+F" in your browser to search through the tags.*

- As the market price increase, the premium on an put option ______________.
*{Derivatives}*- Decreases
- Cannot say
- Remains the same
- Increases

- Let's suppose that NIFTY is trading at 11,000 on 1st August 2020. A NIFTY call option with Sep 2020 Expiry with a strike of 10,500 is trading at Rs. 800. What is the option's time value?.
*{Derivatives}*- Rs. 500
- Rs. 1,000
- Rs. 600
- Rs. 300

- Futures contracts:
*(Select all that apply)*.*{Derivatives}*- Requires the opening of a futures account
- Are derivative instruments
- Trade on securities exchanges
- Pay dividends

- Is the seller of a E-mini S&P 500 futures contract obligated to pay dividends to the long holder?.
*{Derivatives}*- True
- False

- The performance bond margin on a futures contract is.
*{Derivatives}*- 50% of the contract
- 100 percent of the value of the contract
- 3-5% of the value of the contract

- Futures margin requirements are typically. (Select all that apply)
*{Derivatives}*- Determined by the trader
- Greater than stock margin requirements
- Less than stock margin requirements
- Based on contract notional amount and volatility

- CME Group futures markets are typically open ____________ (Central Time).
*{Derivatives}*- Monday morning - Friday afternoon; 10 hours per day
- Sunday evening - Friday afternoon; 23 hours per day
- Sunday morning - Saturday afternoon; 10 hours per day
- Monday morning - Friday afternoon; 23 hours per day

- CME Group offers futures contracts in which of the following asset classes? (Select all that apply) .
*{Derivatives}*- Foreign Currencies
- Treasuries
- Precious Metals
- Individual Stocks

- Futures ticket symbols are identical to stock ticker symbols.
*{Derivatives}*- True
- False

- There are tax efficiencies for future traders in the US that are not available to stock traders.
*{Derivatives}*- True
- False

- Futures can be traded out of a Securities account?.
*{Derivatives}*- True
- False

- Assume it's September 30, what is the front month trading in Gold (GC) futures?.
*{Derivatives}*- October
- December
- November
- September

- Assume it's October, what is the front month trading in Micro E-mini Russell 200 (M2K) futures?.
*{Derivatives}*- June
- March
- September
- December

- Assume it's January 30, what is the front month trading in WTI Crude Oil (CL) futures?
*{Derivatives}*- March
- December
- January
- February

- Assume it's September 12, what is the front month trading in Gold (GC) futures?
*{Derivatives}*- November
- December
- September
- October

- A ticker symbol will indicate various pieces of information about the contract. Please select all of the correct features based on this ticket symbol ESMO.
*{Derivatives}*- Trading Venue: E is for Electronic
- Month: M is for June
- Product: ES is the E-mini S&P 500
- Year: 0 is for 2020
- Month: 0 is for January

- When trading a futures contract, the only variable unknown to the trader is price.
*{Derivatives}*- True
- False

- .
*{}* - .
*{}* - .
*{}* - .
*{}* - .
*{}* - .
*{}* - .
*{}* - .
*{}* - .
*{}* - .
*{}* - .
*{}*

__Updation History__

First updated on 18.08.2020