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 financial markets we all understand volatility as something very unstable and very bad.

Derivatives are financial instruments that are aimed at managing risks inherent in any financial investment. The returns that derivatives allow investors to earn are based on the performance of the underlying assets that can be stocks, commodities, currencies etc.

A future contract is a right and an obligation to buy or to sell an asset. Remember when we talk of types of futures contracts, there are futures across asset classes.

To have expertise in investing and making profits, you need to be well-versed with all trading terminologies. Among various investment instruments that can allow you to earn hefty returns, Over-the-Counter or OTC derivatives are one of them.

The Indian financial market is full of numerous investment opportunities that can offer higher returns with low-risk exposure.

The global capital markets are not just a place where directional trades are taken. By default, spread trading meaning is to trade the spread or difference between prices.

Investors are comfortable with the trading techniques they know will help them diversify. Once they know they have achieved their profit goals from equities, they move to other asset classes that have the potential to offer significant profits.

If you want to trade futures, you start with opening your trading account with a SEBI registered broker like India Infoline Securities.

A basic principle in the stock market is the occurrence of both the market trends (Bear and Bull) at regular intervals. In the case of a bear cycle, the prices of the securities collapse, forcing investors to lose a chunk of their capital.

When you first begin investing, you realise that there are numerous terms you are required to learn to mitigate losses and ensure you are profitable. Although the wide range of financial instruments available for investing in the Indian market provides a plethora of profit-making opportunities, you can end up making losses if you are not well versed with each of them.