Consider the following statements 1 Reserve Bank of India does not regulate any exchange of derivati...........

Economic Affairs Types of Banks and Banking

Consider the following statements:

1.Reserve Bank of India does not regulate any exchange of derivatives instruments in India.

2.The derivative always derives their values from one or more underlying asset.

3.The derivative instruments in India also include repos and reverse repos.

Which of the statements given above are correct?

1 and 2 only

2 and 3 only

1 and 3 only

1, 2 and 3

2 and 3 only

Reserve Bank of India does not regulate any exchange of derivatives instruments in India. (Incorrect)

The Reserve Bank of India (RBI) does regulate certain exchange-traded derivative instruments in India.

The derivative always derives their values from one or more underlying assets. (Correct)

Derivatives derive their value from an underlying asset, index, or reference rate.

The derivative instruments in India also include repos and reverse repos. (Correct)

Repos (Repurchase Agreements) and reverse repos are examples of derivative instruments in India.

Therefore, the correct statements are 2 and 3 only.

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