Mistake?

[archived_user]

Is this statement taken from the CFA material a mistake?
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(Institute 20)
Institute, CFA. 2016 CFA Level I Volume 5 Equity and Fixed Income. CFA Institute, 07/2015. VitalBook file.
The citation provided is a guideline. Please check each citation for accuracy before use.
I thought there are both physical and financial versions of contracts regardless of whether they are physical or financial???

 

[archived_user]

You might be thinking of SETTLEMENT options on the contract at expiration. Depending on the contract, you either deliver the underlying (physical delivery) or pay in cash.

 

[archived_user]

I re-read the section (3.4 Contracts) after your comment and that’s exactly how it’s described. I think they made the specific distinction as per my quote to make the examples obvious. Not a fan of the wording used to talk about this.