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ACI

3I0-013 · Question #194

The writer of an options contract:

The correct answer is B. Bears a substantial risk. See the full explanation below for the reasoning.

Question

The writer of an options contract:

Options

  • ABears a risk limited to the premium paid
  • BBears a substantial risk
  • CBears a risk limited to the premium received
  • DBears no risk

How the community answered

(39 responses)
  • A
    3% (1)
  • B
    85% (33)
  • C
    8% (3)
  • D
    5% (2)

Community Discussion

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Full 3I0-013 Practice