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future and option

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › future and option

  • This topic has 3 replies, 2 voices, and was last updated 4 years ago by AvatarJohn Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • August 2, 2021 at 5:40 am #630085
    Avatarhuiyu98
    Participant
    • Topics: 39
    • Replies: 32
    • ☆☆

    Sir, May i ask future contracts and option both can be exchange traded and OTC is it?
    for the flexibility to lapse or exercise will it apply to exchange trade or otc?

    August 2, 2021 at 12:38 pm #630127
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54836
    • ☆☆☆☆☆

    Futures are only exchange traded.
    Options may be traded options or OTC and in both cases the option exists to either use or to let it lapse.

    August 3, 2021 at 1:38 pm #630261
    Avatarhuiyu98
    Participant
    • Topics: 39
    • Replies: 32
    • ☆☆

    Sir, May I verify for the OTC option only able to lapse or exercise but exchange traded derivatives able to sell, lapse or exercise it is?

    August 3, 2021 at 7:00 pm #630300
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54836
    • ☆☆☆☆☆

    That is correct 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘future and option’ is closed to new replies.

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