Derivatives are financial instruments which have their value determined by (derived from) the value of an underlying instrument, figure, result, or event.
Underlying Instruments and Markets
Among the securities, instruments, and markets for which derivative securities are created and traded are:
Usage of Derivatives
Derivatives were originally created for the purposes of hedging. They maintain that focus, though speculators have taken to them as well. The appeal is that they provide those who use them the ability to target very specific objectives.
Types of Derivatives
Where to Trade Derivatives
Related T2W Resources