There is no limit to the amount of loss than can occur with a futures contract.

Name: There is no limit to the amount of loss than can occur with a futures contract.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Futures contracts have unlimited potential for loss as they are leveraged instruments. The loss can exceed the initial investment or margin deposited. Hence, there is no limit to how much money an investor can lose with a futures contract.

There Is No Limit to the Amount of Loss Than