Which of the following is NOT an example of a financial derivative?
A) forwards
B) bonds
C) swaps
D) futures
E) options

Question

Quizplus · Accepted Answer

Bonds are not considered financial derivatives as they are issued as a form of borrowing, with a fixed rate of interest and a predetermined date of maturity, rather than being valued based on an underlying asset or index. The other options (forwards, swaps, futures, and options) are all examples of financial derivatives as they derive their value from other assets or debts.

Which of the Following Is NOT an Example of a Financial