n NISM Certifications
NSM General NISM
Medium

The maximum loss for a trader who has bought a call option is limited to ______.

Practice question from NISM Series I - Mock Test 1 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. Premium paid

    Correct answer

  2. B

    The difference between strike price and premium

  3. C

    The entire value of the underlying asset

  4. D

    Unlimited

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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