These are artificially created securities, often ones that are derived from different financial instruments. The value of derivatives is based on or derived from an underlying asset or a group of assets. Most common derivatives are commodities, currencies, stocks, bonds, and interest rates, all of which are typically purchased through brokerages.
Derivative securities
These are artificially created securities, often ones that are derived from different financial instruments. The value of derivatives is based on or derived from an underlying asset or a group of assets. Most common derivatives are commodities, currencies, stocks, bonds, and interest rates, all of which are typically purchased through brokerages.
