Question

in forward and futures contracts, the risk of non-fulfilment of contract terms is most likely borne by:

Answer 1

In forward and futures contracts, the risk of non-fulfillment of contract terms is most likely borne by both parties to the contract.

What are forward and futures contracts?

The difference between a forward and futures contract lies in their establishment.

A forward contract is a personal arrangement traded over the counter whereas, a futures contract is a standardized contract made through an established exchange.

Thus, in forward and futures contracts, the risk of non-fulfillment of contract terms is most likely borne by both parties to the contract.

Learn more about forward and futures contacts at brainly.com/question/15581105

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