📝 One-liners · 88 cards

Derivatives

Financial market underlying?
interest rates, foreign exchange, equity prices, credit spreads.
Commodity market underlying?
gold, silver, crude oil, agricultural products.
Index underlying?
Nifty 50, Bank Nifty, MIBOR, USD/INR fixing.
Hedging or Safeguard?
protect existing positions / cash flows from adverse market movements (the risk management use).
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