Reinforce the lesson

The derivatives market is where financial instruments based on which of the following underlying assets are traded?

• Stocks
  
  

• Bonds
  

• Commodities
  
  

• All of the above

Which derivative instrument helps investors hedge risk or speculate?

• Futures contracts
  
  

• Options contracts
  
  

• Swaps

• All of the above

Equity capital is raised by a company through the issuance of which type of security?

• Bonds

• Stocks

• Options

• Futures contracts

What does stock represent in a company?

• Ownership of part of the company
  
  

• Company debt

• A loan from the bank

• The right to protect the company

Borrowed capital is raised by issuing which of the following?

• Options contracts

• Stocks

• Bonds
  
  

• Swaps
  
  

Who typically issues securities on behalf of a company on the market?

• The company’s board of directors

• Securities companies

• Tax authorities

• Individual investors

In Vietnam, how long before the stock market does the derivatives market open?

• 5 minutes

• 10 minutes

• 15 minutes

• 20 minutes

Which of the following is issued to raise capital and represents a company’s debt?

• Stocks

• Bonds

• Futures contracts

• Swaps

Prices on the exchange are determined based on what factor?

• The company’s decision

• Supply and demand

• Major investor decisions

• Government policies

One of the functions of an exchange is

• Creating derivative products

• Providing liquidity

• Increasing investor risk

• Issuing bonds