Which of the following is a characteristic of asset backed trading?

The characteristic that traders only need to find either buyers or sellers accurately reflects a fundamental aspect of asset-backed trading. This trading method focuses on the securing of physical assets as the underlying basis for trades. Because asset-backed trading revolves around tangible commodities, traders often find that their primary role is to connect either the sellers of these assets or the buyers looking to acquire them. In many instances, they may not need to engage in both sides of the transaction, thereby streamlining the trading process.

In contrast, the other statements do not hold true for asset-backed trading. While some traders may engage in speculation, this is not a defining characteristic since asset-backed trading emphasizes the physical commodities themselves rather than purely speculative price movements. Additionally, asset-backed trading is not limited to just physical commodity trading, as it can also involve financial instruments linked to those assets. The need for both clients and proprietary funds applies to broader trading practices more than specifically to asset-backed trading, since the core focus remains on utilizing the tangible assets to facilitate trades, whether through direct client relationships or proprietary trades.