Why is fungibility an important feature of futures contracts

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1. Describe the features of a futures contract that make it more liquid than a forward contract.

2. Explain the features of a futures contract that make it have less credit risk than a forward contract.

3. Why is fungibility an important feature of futures contracts?

4. Describe the delivery process for futures contracts. Why does delivery rarely take place in futures contracts?

Reference no: EM131289206

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