Regarding foreign exchange management products, the first-generation product (ie, forward contracts) is more popular among users than the second-generation (eg, options) and third-generation products (eg, warrants)

Question

Quizplus · Accepted Answer

This statement is true as forward contracts are simpler and easier to understand compared to options and warrants, which have more complex features and require specialized knowledge. Additionally, many users prefer the certainty and stability of a fixed exchange rate provided by forward contracts, rather than the potential risks and rewards associated with options and warrants.

Regarding Foreign Exchange Management Products, the First-Generation Product (Ie, Forward