Q. What is the prime motive for futures contracts?

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Q. What is the main characteristic of options contracts regarding the buyer's obligation?

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Q. What is the classification of options based on the maturity date?

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Q. What is the main difference between a Call Option and a Put Option?

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Q. What is the strike price in an options contract?

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Q. What is the key difference between Futures and Forwards regarding fulfillment of the contract on the delivery date?

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Q. How is the repricing of futures contracts different from forward contracts?

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Q. What has been the growth trend of derivatives market in India since June 2000?

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Q. What is the basic reason for the emergence of a well-functioning derivative market in India?

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Q. Which of the following statements best defines Financial Risk Management?

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Q. What is the primary purpose of using derivatives in financial risk management?

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Q. What are the two main categories of derivatives based on the market place?

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Q. What does a Forward contract represent in the context of financial derivatives?

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Q. What is a key characteristic that distinguishes a futures contract from a forward contract?

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Q. What is the primary difference between a Call Option and a Put Option?

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Q. What distinguishes an American Option from a European Option based on maturity date?

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Q. What is the purpose of a Credit Derivative, such as a Credit Default Swap (CDS)?

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Q. __________ is an instrument, which is embedded in another contract known as host contract.

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Q. In which of the following types of options does the owner have the right to require the sale to take place on (but not before) the maturity date.

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