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Showing posts with the label Derivative market. stock market

What is Derivative market.

Indian Derivatives Market /  What is Derivative Trading - Futures & Options Trading What is derivative market /  About Trading Derivatives Markets Globally  Over the last four decades, derivatives market has seen a phenomenal growth. Many  derivative contracts were launched at exchanges across the world. Some of the factors  driving the growth of financial derivatives are:Increased fluctuations in underlying asset prices in financial markets. Integration of financial markets globally. Use of latest  technology in  communications  has  helped  in  reduction  of  transaction costs.  Enhanced  understanding  of  market  participants  on  sophisticated  risk  management tools to manage risk.  Frequent innovations in derivatives market and newer applications of products. Products in Derivatives Market   Forwards   It is a contractual a...

What is Financial market.

  Financial market : A market is define as a place where any type of trade take place with the major depedent of two participants- buyer and sellers. This market vary in form,scale,location,type of participant and as well as the type of good and services taded hence there is non exhaustive list of market. Classification of financial market. 1) Money market 2) Capital market. 1 Money market    The money market is the market for financial assets which are the close substitude for money. It is a market for short term debt instrument that have a maturity period of less than or up to one year. It include treasury bills, commercial paper, banker acceptance, certificate of deposit. 2 capital market     Capital market is a market for long term securities such as equity and debt. This market aims at raising capital on long term basis for a period over one year. it act as a platformwhere the public and private sectors often sell there s...