Question

In: Finance

Which one of the following is not a forward commitment? Foreign exchange forward Foreign exchange futures...

Which one of the following is not a forward commitment?

Foreign exchange forward

Foreign exchange futures

Foreign exchange options

Foreign exchange swaps

all above are forward commitment

Solutions

Expert Solution

Option c is correct option, Foreign Exchange options are not forwards commitments.
Forwards commitment allows sale or purchase of goods at future date at a fixed price.Forwards, Futures and Swaps are forward commitment


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