The futures markets have grown rapidly in recent years because
A) interest rate volatility has increased.
B) financial managers are more risk averse.
C) of both A and B.
D) of neither A nor B.

Question

Quizplus · Accepted Answer

The futures markets have grown rapidly in recent years due to both A and B. Interest rate volatility has increased as a result of global economic conditions, and many financial managers have become more risk averse due to increased uncertainty and market volatility. These factors have led to increased demand for hedging and risk management tools provided by futures markets.

The Futures Markets Have Grown Rapidly in Recent Years Because