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Derivatives are financial instruments whose value is based on an underlying asset. The most common underlying assets are stocks, bonds, currencies, commodities, and market indices. There are two main types of derivatives - futures and options. Futures contracts obligate the buyer to purchase an asset at a predetermined price on a future date. Options contracts grant the buyer the right, but not the obligation, to buy or sell the underlying asset at a predetermined strike price. Derivatives can be exchange-t

Author

abhiraj_bangera

Language

EN