A security can exist in the absence of a formal certificate evidencing the investment and in the absence of an interest taken in the tangible assets of the company being invested in.

Question

Quizplus · Accepted Answer

A security can exist in various forms, such as a stock or bond, which do not require a physical certificate. Additionally, some investments, such as futures contracts or options, do not entail an interest in the underlying assets of a company.

A Security Can Exist in the Absence of a Formal