Units of a mutual fund can be purchased by investing a pre‐determined amount periodically. This facility is called

Trail commission is paid to a mutual fund distributor based on

In a Nifty 50 futures contract the underlying is

The counterparty risk in a forward contract is mitigated in a futures contract primarily through

The settlement price for determining daily mark‐to‐market margins for a futures transaction is

If an option can be exercised any time before its expiry date, it is called

Using derivative for speculative purposes is risky because the trader may default on the borrowings that funded the position.

Which of the following is a financial goal?

An investor who has a short‐term financial need may choose to invest primarily in

Diversification reduces the risk of a portfolio, primarily because