List of Derivatives Articles

Stock market indicators are essentially quantitative tools applied by traders and investors to interpret financial data. The broad intent is to forecast stock market movements and make profits out of the same.

Options are not only liquid but they are many times larger than the cash market and the futures market in terms of daily volumes.

Index Options are derivative instrument, which means their value is derived from the movements in the underlying index.

If you are an investor looking for short-term financial instruments, Options is a great option. It is a derivative contract that gives the owner the right to buy or sell securities at an agreed-upon price within a certain period.

When talking to an investor, you get to know that they lost all of their capital while trading. Thinking that they too would lose their capital, they pass on their idea of investing, thereby losing on huge wealth multiplication and profits.

In the financial markets, leverage is used extensively to increase the potential return on investment. Leverage involves using borrowed capital or securities to fund a financial asset.

What do we understand by squaring off a futures transaction? To understand how to square off futures position, remember that futures position can be either long or short.

Investors choose derivative trading for its high potential of diversification and limiting their exposure to the fall of a specific asset class.

The Indian financial market and its numerous investment instruments come with their risks and rewards. While investors can reap the rewards with the right amount of research and an ideal trading strategy, the risks can seem harder to manage and minimise if

We all pay option premium when we buy options and receive option premium when we sell options. Have you wondered about the option premium meaning and its significance. Why do options command premium, what exactly this premium and who determines this premium amount?

A futures is a contract to buy or sell an underlying asset at a future price, called the exercise price, at a future date, called the expiry date.

Share derivatives priced between Rs201 to Rs400 would have a lot of 1,000 units; between Rs101 and Rs200 in lots of 2,000 units; Rs51 to Rs100 at 4,000 units and Rs25 to Rs50 in lots of 8,000.

One of the most popular and widely used words in the lexicon of F&O trading is open interest. As the name suggests, open interest represents the open futures and options positions in the market that are yet to be closed out or exercised or expired.

Investing is one of the best ways to utilise your disposable income. However, it is always best to go with investment tools that offer high security and guaranteed returns when you first start investing.

tock exchanges are an excessively volatile arena, which means the market swings constantly. The most common way to profit from market swings is Options. T