The creation of the CBOE led to all the following innovations in options except A) The creation of a central marketplace. B) The introduction of a clearing corporation. C) The standardization of expiration dates. D) The creation of a primary market. E) The creation of a secondary market.

Question

Quizplus · Accepted Answer

The creation of the CBOE did not lead to the creation of a primary market since options contracts are not typically issued by the primary issuer or borrower, but rather traded between investors in a secondary market. The other options (A, B, C, and E) are all innovations that were facilitated by the creation of the CBOE.

The Creation of the CBOE Led to All the Following