n NISM Certifications
XIII NISM Series XIII
Medium

Which of the following is NOT a characteristic of a forward contract?

Practice question from NISM Series XIII for SIF - Mock Test 8 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Customized terms

  2. B

    Traded over-the-counter (OTC) (Correct)

  3. Standardized contract size

    Correct answer

  4. D

    Counterparty risk exists

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

Test yourself for real

Take a full NISM Series XIII mock test.

Same duration, same weighting, same difficulty distribution as the real exam — with explanations on every question.