The responsibility of the clearinghouse is to
A)bid up transactions.
B)provide an area where buyers and sellers of futures can meet.
C)enforce futures contracts.
D)arrange trades only.

Question

Quizplus · Accepted Answer

The clearinghouse acts as an intermediary between buyers and sellers in futures markets, ensuring that both parties fulfill their obligations under the contracts. This includes enforcing the terms of futures contracts, making sure that delivery occurs (if applicable), and that payments are made as agreed.

The Responsibility of the Clearinghouse Is to