Chapter 01 · Section 1.1

Completed table

Here is our completed table:

                  Exchange Traded Options 

Contract Terms     standard       
Delivery           less than 10%         
Trading            centralized
Credit Risk        clearing house   
Liquidity          high   

In many respects, exchange-traded options are similar to:

• a) forwards
  No. In all of the above criteria, exchange-traded options are similar to futures.
  b) futures

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