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.

When investing in the Indian financial market, one thing to be certain: Risk. Market risk is the most common and universal within every asset class in the financial market.

Shout Options are among the league of more complex aspects of stock trading. But, learning how to use them can help you take your trading strategy to the next level. Shout Options are one of the many types of derivatives contracts available to traders, and they are widely misunderstood because there are several different ways to use them.

Derivatives are standardised financial contracts traded in stock exchanges in a regulated manner.

To understand settlement of options you need to break up the buy side and the sell side of the option distinctly.

An index is a benchmark like the Nifty or the Sensex. Typically, indices can be generic benchmarks like Nifty and Sensex. Alternatively, indices can also be thematic benchmarks like the Bank Nifty, Nifty IT etc.

An Iron Butterfly Strategy or Iron Fly Strategy is an options trading strategy that combines multiple call and put options to devise a market neutral strategy.

Commodity options are structured like any other option on an index or stock in that the buyer has limited risk and the seller of the option has unlimited risk.

For financial planners, options could be a great tool to tide over turbulence in markets when things are uncertain, Vatsal Ramaiya says

In India, the futures and options market has currently become a popular avenue for investors seeking a more significant portion of the Indian stock market. The craze of F&O in India holds a strong grip over the investors. Nevertheless, several traders and investors who are a beginner in the derivative market are primarily uninformed of the process of how it works or the concept of […]

A vertical spread also called a credit spread, involves buying and selling Options of the same class (Call or Put) but different strike prices. Vertical spreads can be bullish or bearish