whats Derivative?

Answer Posted / janki

derivative is a financial contract where the price is
derived from the spot market ie underlying. there are 4
types of derivatives.
forward
futures
options
swaps
but most commonly used in indian capital market is F & O.

Is This Answer Correct ?    57 Yes 2 No



Post New Answer       View All Answers


Please Help Members By Posting Answers For Below Questions

Share your views on India 2020?

670


What is typically higher the cost of debt or the cost of equity?

546


Brand has become an important aspect of Business. What are the advantages of building a Brand and what steps are available under IPR to protect its ownership?

1978


What is profit ratio?

663


Which software is used in the banking sector?

596






What is market stabilization scheme (mss)?

599


How will you differentiate between direct and indirect taxes?

679


What is 'nicnet'?

667


What is foreign exchange?

770


What points are covered in the 'annual financial statement'?

594


If you get a better job in Public Sector (IAS/PCS Etc.), will you leave us?

670


what are the approaches to current account convertibilitry

1511


What is the difference between FII and FDI

649


What is a Balanced budget ?

645


What Is Inter-bank Deposit?

677