Derivatives Flashcards

1
Q

What would you do if you knew

the future?

A

I would buy as many as I could BTCs in 2009/2010 and then sold it in the late 2017

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2
Q

What means “short” position in trading?

A

If I have agreed to sell forex forward, I

am short

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3
Q

What is an option?

A

An option is a contract written by a seller that
conveys to the buyer the right — but not the
obligation — to buy (in the case of a call option)
or to sell (in the case of a put option) a particular
asset

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