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WHAT IS DERIVATIVE?

Answer Posted / satish vicky

A Derivative is a term core variety of financial instrument
whoso value is derived from the one or more underlining
asses. it is an contract between two parties with a specific
conditions. some of the common underlyning assets are
commodities,stocks,bonds,currencies etc.. the use of
derivatives can result in large lossess because of leverage
or borrowing.

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