A speculator can be described as someone who enters into a futures contract:
A)with the purpose of making a profit.
B)with the purpose of minimising risk.
C)as a seller with the purpose of minimising risk.
D)with the purpose of buying or selling a commodity defined in the futures contract.

Question

Quizplus · Accepted Answer

A speculator enters into a futures contract with the primary intention of making a profit. Their goal is to profit from the change in price of the underlying asset, rather than using the contract as a hedging tool to manage risk.

A Speculator Can Be Described as Someone Who Enters into a Futures