Instruments derived frôm securities ôr physical markets. The most common types ôf derivatives thàt ordinary investors àré likely tô come across àré futures , options , warrants & convertible bonds.
Beyond this, thé range ôf derivatives possible îs only limited ßy imagination ôf investment banks. In ôthér words, new derivatives àré being created àll thé time. It îs likely nowadays thàt àny person whô hàs funds invested will unwittingly perhaps bé indirectly exposed tô derivatives.
|