Derivative instrument: Difference between revisions
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imported>Doug Williamson m (Link with ETD page.) |
imported>Doug Williamson (Link with Outright page) |
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== See also == | == See also == | ||
* [[CertFMM]] | |||
* [[Commodity risk]] | * [[Commodity risk]] | ||
* [[Embedded derivative]] | * [[Embedded derivative]] | ||
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* [[Notional principal]] | * [[Notional principal]] | ||
* [[Option]] | * [[Option]] | ||
* [[Outright]] | |||
* [[Strike price]] | * [[Strike price]] | ||
* [[Tracker fund]] | * [[Tracker fund]] | ||
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==Other links== | ===Other links=== | ||
*[http://www.treasurers.org/node/8599 Masterclass: Derivatives, The Treasurer, December 2012] | *[http://www.treasurers.org/node/8599 Masterclass: Derivatives, The Treasurer, December 2012] | ||
Revision as of 09:27, 20 May 2015
A derivative instrument or contract is one whose value and other characteristics are derived from those of another asset or instrument (sometimes known as the Underlying Asset).
For example, a share option is a type of derivative contract, allowing the holder to buy shares at a certain predetermined strike price. The value of the share option derives from the current price of the related underlying share relative to the option strike price.
See also
- CertFMM
- Commodity risk
- Embedded derivative
- ETD
- Fixing instrument
- Maturity
- Notional principal
- Option
- Outright
- Strike price
- Tracker fund
- Underlying
- Underlying asset
- Underlying price
