Which of the Following Statements Are True Concerning Stock Index

Multiple Choice

Which of the following statements are true concerning stock index futures?
​1) Stock index futures may be used to hedge against stock prices rising.
2) Stock index futures require substantial margin and are a source of financial leverage.
3) Stock index futures are settled in cash and not in delivery.
4) Stock index futures are settle in specific securities.

A) ​1 and 3
B) ​1 and 4
C) ​2 and 3
D) ​2 and 4