Which of the following describes the benefit of no set maturity date in CFDs?

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The benefit of having no set maturity date in Contracts for Difference (CFDs) primarily lies in the flexibility it offers traders with their positions. Without a predetermined expiration, traders are free to maintain their positions for as long as they choose, provided they meet any margin requirements set by their broker. This flexibility allows for a more strategic approach to trading; investors can hold onto their positions to benefit from a longer-term market trend or react dynamically to market conditions, adjusting their investment based on performance rather than being forced to close the position by a specific date.

While the other options touch on various aspects of trading and investment strategies, they do not directly address the unique advantage provided by the lack of a maturity date. For instance, long-term holding might be a possibility, but it isn't exclusive to CFDs and doesn't capture the essence of the flexibility aspect. Similarly, payment of dividends pertains to the underlying assets and is not a feature of CFDs themselves, as they are derivative instruments that do not involve ownership of the underlying stock. Limiting exposure to market fluctuations does not accurately reflect the nature of CFDs, which can expose traders to significant risk regardless of whether there is a maturity date. Overall, the ability to hold positions without time constraints gives traders significant leverage in execution of their

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