Answered

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Select the correct answer.

Which financial item transfers risk from one party to another?

A. Equities or stocks
B. Apartments
C. Initial public offerings (IPOs)
D. Stock futures

Sagot :

GinnyAnswer

Final answer:

Stock futures transfer risk from one party to another by creating a contract to buy a stock at a specified price on a future date.


Explanation:

Stock futures are the financial item that transfers risk from one party to another. Stock futures are contracts that obligate the buyer to purchase a specific quantity of a stock at a specified price on a future date. This helps in transferring the risk associated with price fluctuations of the stock.


Learn more about Stock futures here:

https://brainly.com/question/36176908


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