List of Derivatives Articles

Derivatives Market Guide

What is Physical Settlement?

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.

What are the differences between standardised options and employee stock options?

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

How to calculate minimum margin?

Minimum margin or maintenance margin is the number of stocks investors must maintain in their margin account.

What is Equity Derivatives?

Equity is the share of a company that you, as an investor, own. Such equity, in turn, allows you access to the gains of the company.

Who Should Invest in Derivatives?

The stock market has proven to be the preferred investment avenue for many investors, beginner or experienced.

What Is Contango?

Contango is a common usage in the futures market, especially when it comes to futures on commodities. Here we try to understand contango meaning and contango definition.

What are over the counter (OTC) options

OTC options or over the counter options essentially represents options that are privately entered into and are not traded in a standard form in any stock exchange.

What is meant by calendar spread?

Calendar spread, as the name suggests is a spread strategy wherein you trade on the gap between two similar contracts rather than betting on the price.

What is underlying and how it differs from contracts?

One of the most common term you get to year in the derivatives market is the term “Underlying Asset”.

What is Spread Trading?

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.