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    Exam 1: Role of Financial Markets and Institutions
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    If Investors Speculate in the Underlying Asset Rather Than Derivative
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If Investors Speculate in the Underlying Asset Rather Than Derivative

Question 66

Question 66

Multiple Choice

If investors speculate in the underlying asset rather than derivative contracts on the underlying asset, they will probably achieve ____ returns, and they are exposed to relatively ____ risk.


A) lower; lower
B) lower; higher
C) higher; lower
D) higher; higher

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