NISM Series 12 Securities Markets Foundation Certification Exam Notes

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  • Arbitrage Benefits: Exploits price differences for risk-free profits.
  • Open Interest: Measures outstanding contracts, indicating market liquidity.
  • Put-Call Ratio: Ratio of put to call options signals market sentiment.
  • Market Liquidity: High open interest relative to volume reduces trading costs.
  • Counterparty Risk: Mitigated by clearing corporations in futures and options.

NISM 12 Securities Markets Foundation

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