Stock index options permit investors to establish a position in the market without having to select individual stocks.

Name: Stock index options permit investors to establish a position in the market without having to select individual stocks.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Stock index options allow investors to speculate on or hedge against the movement of an entire stock index, such as the S&P 500, without the need to directly buy or sell shares of individual companies.

Stock Index Options Permit Investors to Establish a Position in the Market