Financial futures and options have been developed because of which of the following?
A)increased pure competition
B)decreased bond purchases
C)increased price volatility in financial markets
D)increased foreign government protectionism

Question

Quizplus · Accepted Answer

Financial futures and options have been developed in response to increased price volatility in financial markets. These instruments allow investors to hedge against price fluctuations and manage risk. Increased competition, decreased bond purchases, and increased foreign government protectionism are not direct drivers of the development of financial futures and options.

Financial Futures and Options Have Been Developed Because of Which