The uniform guidelines issued by bank regulators for trading in futures and forwards
A)require a bank to establish trading limits.
B)require a bank to disclose large contract positions.
C)require a bank to establish internal guidelines regarding hedging activities.
D)All of the options are correct.

Question

Quizplus · Accepted Answer

The uniform guidelines issued by bank regulators for trading in futures and forwards require banks to establish trading limits, disclose large contract positions, and establish internal guidelines regarding hedging activities. This helps to ensure that banks are using these instruments appropriately and managing their risks effectively.

The Uniform Guidelines Issued by Bank Regulators for Trading in Futures