dc.contributor.author | SHARMA, NIKHIL (19GSOB1010089) | |
dc.contributor.author | SINGH, NAVNEET (19GSOB1010058) | |
dc.contributor.author | RAI, NAVNEET (19GSOB1010162) | |
dc.contributor.author | PANDEY, SWARNIKA Supervisor | |
dc.date.accessioned | 2022-10-31T07:18:42Z | |
dc.date.available | 2022-10-31T07:18:42Z | |
dc.date.issued | 2022-03-01 | |
dc.identifier.citation | FINANCIAL DERIVATIVES | en_US |
dc.identifier.uri | http://10.10.11.6/handle/1/10355 | |
dc.description | The emergence of the marketplace for derivatives products, maximum drastically forwards,
futures, and options, may be tune lower back to the willingness of threat-averse financial
marketers to shield themselves in opposition to uncertainties bobbing up out of fluctuations in
asset costs. By their very nature, the monetary markets are marked with the aid of using a totally
excessive diploma of volatility. Through using spinoff products, it's far viable to partly or
absolutely switch fee dangers with the aid of using locking-in asset costs. As units of threat
control, those normally do now no longer affect the fluctuations within side the underlying asset
costs. However, with the aid of using locking-in asset costs, spinoff product minimizes the
effect of fluctuations in asset costs at the profitability and coins waft state of affairs of threat-
averse inventors.
Derivatives are threat control units, which derive their cost from an underlying
asset. The underlying asset may be bullion, index, share, bonds, currencies, interest, etc. Banks,
securities firms, organizations and traders to hedge dangers, to advantage get entry to to less
expensive cash and to make profit, use derivatives. Derivatives are in all likelihood to develop
eve at a quicker price in future. | en_US |
dc.description.abstract | The emergence of the market for derivatives products, most notably forwards, futures and
options, can be track back to the willingness of risk-averse economic agents to guard themselves
against uncertainties arising out of fluctuations in asset prices. Derivatives are risk management
instruments, which derive their value from an underlying asset. The following re three broad
categories of participants in the derivatives market Hedgers, Speculators and Arbitragers. Price
in an organized derivatives market reflects the perception of market participants about the future
and leads the price of underlying to the perceived future level. In recent times the derivative
markets have gained importance in terms of their vital role in the economy. The increasing
investments in stocks (domestic as well as overseas) have attracted my interest in this area.
Numerous studies on the effects of futures and options listing on the underlying cash market
volatility have been done in the developed markets. The derivative market is newly started in
India and it is known by every investor, so SEBI has to take steps to create awareness among
the investors about the derivative segment. In cash market the profit/loss of the investor depends
on the market price of the underlying asset. The investor may incur huge profit or he may incur
huge loss. But in derivatives segment the investor enjoys huge profits with limited downside.
Derivatives are mostly used for hedging purpose. In order to increase the derivatives market in
India, SEBI should revise some of their regulations like contract size, participation of FII in the
derivatives market. In a nutshell the study throws a light on the derivatives market. | en_US |
dc.language.iso | en | en_US |
dc.publisher | GALGOTIAS UNIVERSITY | en_US |
dc.subject | FINANCIAL DERIVATIVES | en_US |
dc.title | A STUDY ON FINANCIAL DERIVATIVES | en_US |
dc.type | Article | en_US |