Phrases with «derivative trading»

Derivative trading refers to the practice of buying and selling financial contracts whose prices depend on the performance of an underlying asset, such as stocks, commodities, or currencies. These contracts derive their value from the value of the underlying asset. Traders engage in derivative trading to speculate on price movements, hedge against risks, or manage portfolios. It allows individuals or institutions to trade financial instruments without owning the actual asset, providing flexibility and opportunities for profit. Full definition

Related phrases

Sentences with «derivative trading»

  • Options trading is a form of derivative trading in which people trade contracts that give them the rights (but not obligation) to buy or sell an underlying asset at a predetermined price. (thenextweb.com)
  • This is part of a bid to launch cryptocurrency derivatives trading. (bit-media.org)
  • Most of the media outlets have been focusing on the new restrictions for derivatives trading. (homebuyinginstitute.com)
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