Derivative Market

Derivative Market

The derivative market is a financial market where financial instruments known as derivatives are traded. Derivatives derive their value from an underlying asset, index, or rate, such as stocks, bonds, commodities, currencies, interest rates, or market indices. These instruments are used for various purposes including hedging against risks, speculation, and portfolio diversification.

The Indian derivatives market is a significant component of the country's financial landscape, allowing investors to hedge risk and speculate on the future price movements of various assets. Here are some basics:

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