"Derivative" Essays and Research Papers

Financial Derivatives Market in India This research study encompasses in its scope an analysis of historical roots of derivative trading, types of derivative products, regulation and policy developments, trend and growth, future prospects and challenges of derivative market in India. The study is organized into three sections. Section I deals with the concept, definition, features and types of financial derivatives. Section II has been devoted to a discussion of the growth of derivatives market...

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------------------------------------------------- ------------------------------------------------- ASSIGNMENT ON DERIVATIVES ------------------------------------------------- ------------------------------------------------- Presentation on Derivatives ------------------------------------------------- ------------------------------------------------- DERIVATIVES Definition: A derivative is a complicated financial contract that gets (derives) its value from an underlying asset. It is an agreement...

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Financial Derivatives DERIVATIVE SECURITY: A derivative security is a security whose value is contingent on the value of other more basic underlying variables. Hence derivatives are also known as contingent claims. Very often the variables underlying derivatives securities are the prices of traded securities. For example, stock option. Futures and Options ⇒⇒⇒⇒⇒⇒ actively traded on the many different exchanges. Forward Contracts, Swaps ⇒⇒⇒⇒⇒ traded outside of exchanges by financial Institutions...

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date=12/11/2003&story=1&title=Your-perception-of-derivatives-instrument-is With an assortment of investment instruments available in the financial markets, derivatives have caught the attention of investors and their volumes are on the rise. However, since this market is relatively more complicated than the cash market awareness and participation continues to be low as far as retail investors are concerned. Therefore, in order to know as to what an average investor feels about derivatives we conducted a poll and the...

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Derivatives and Hedging Assignment: Hedging Strategy comprised of GM stock and 3.5% is comprised of Ford stock. Assume that GM and Ford are the only automobile industry holdings in the portfolio. Assume that you are bearish on the automobile industry over the next six months and neutral to bullish on all other industries. Utilizing derivatives create a hedging strategy to protect the portfolio over the next six months from your bearish automobile industry outlook. Risk management is defined...

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Currency derivatives Introduction Currency derivatives come in to existences as a hedging tool. As against unfavourable appreciation and depreciation of a single currency. Exporter, importer and financial investor have developed a vast range of currency derivative instruments are also used by speculators willing to arrange future currency selling or buying contracts while hoping hoping to buy or sell the currency at favourable anticipated exchange rates in the future. This act of speculator...

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from the list below: | This derivative security costs nothing to enter.（F） | | This derivative security is a tailored OTC contract.（F） | | This derivative security is a standardized exchange traded contract.（T） | | This derivative security is not an obligation.（T） | | This derivative security incurs a premium on purchase.（T） | | This derivative security is an obligation.（F） | [1 out of 2]- Feedback * You are partly correct. * This derivative security is not an obligation:...

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DERIVATIVES During the crisis, derivatives were heavily used in the entire financial system which may seem to mitigate the effects by transferring risks from one party to another. The video “Crisis of Credit Visualized” helped me understand how the financial system worked as a whole connected from home owners, to brokers, to lenders, to bankers, to investors and many other financial institutions. Apparently, most of the people do not understand how derivatives work since it’s quite complicated...

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Financial Derivatives Various Types and Pricing of Forward Contracts   Contents 1. Introduction.............................................................................................................................3 2.1 Futures...................................................................................................................................4 2.2 Options..............................................................................................................

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1. (a)What are the derivative instruments that the company uses? Overall utilization of derivative instruments by AirAsia is for both purposes of hedging and held for trading. For instance using certain derivative instrument to hedge a particular or contingent risk associated with a recognized asset and liability and highly probable forecast transaction. Derivative instrument are recognized at fair value when parties are entered into contract and subsequently are measured at their fair value...

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