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Basic Question 3 of 12

A put option on futures, based on the Black model, is a ______ component minus a ______ component.

A. stock; bond
B. bond; futures
C. futures; stock

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I used your notes and passed ... highly recommended!
Lauren

Lauren

Learning Outcome Statements

describe how the Black model is used to value European options on futures;

describe how the Black model is used to value European interest rate options and European swaptions;

CFA® 2025 Level II Curriculum, Volume 5, Module 32.