Which of the above is/are considered financial instruments?

 Consider the following:

1. Exchange-Traded Funds (ETF)
2. Motor vehicles
3. Currency swap

Which of the above is/are considered financial instruments?

(a). 1 only

(b). 2 and 3 only

(c). 1, 2 and 3

(d). 1 and 3 only

 

Explanation:

Exchange-Traded Funds (ETFs) and Currency swap are considered financial instruments.

Exchange-Traded Funds (ETFs): These are financial instruments that track an index, commodity, bond, or basket of assets. They are traded on stock exchanges.

Motor vehicles: These are tangible assets, not financial instruments. They represent physical property.

Currency swap: This is a financial instrument involving the exchange of one currency for another at a specified exchange rate.

Therefore, the answer is option (d).

Go to Link