What is a key feature of futures contracts that distinguishes them from forward contracts?  A. Futures have standardized terms  B. Futures have longer maturities  C. Futures cannot be traded on exchanges  D. Futures involve physical delivery

25.Which of the following statements is true regarding the distinction between futures and forward contracts?  A. Futures contracts are more customizable than forward contracts  B. Forward contracts are traded on organized exchanges  C. Futures contracts have standardized terms, while forward contracts are customizable  D. Forward contracts are settled at a future date

Which of the following is a key advantage of futures contracts over forward contracts?  A. Customizable terms  B. Lack of counterparty risk  C. Standardized terms  D. Settled at the discretion of the parties involved

How are futures and forwards different? State at least 2 properties or conditions.

Which of the following is NOT an advantage of using futures contracts to hedge an exposure compared to using forward contracts to hedge the same exposure? A. Futures generally have more liquid markets. B. Futures generally offer lower counter-party risk. C. Futures are available on a greater range of products. D. Futures have very low transaction costs.

Which of the following statements about futures are true:I. Futures is a standardised contract to buy or sell a specific commodity or financial instrument at a specific price at a predetermined future date;II. In Australia bonds futures are usually quoted at an index figure of 100 minus the yield so a dealer can follow a basic principle of buy low and sell high;III. Novation is the process to renew futures contracts when they fall due;IV. Standard delivery is more usual in futures markets.