Derivative security

(redirected from Deriviatives)

Derivative security

A financial security such as an option or future whose value is derived in part from the value and characteristics of another security, the underlying asset.

Derivative Security

Futures, forwards, options, and other securities except for regular stocks and bonds. The value of nearly all derivatives are based on an underlying asset, whether that is a stock, bond, currency, index, or something else entirely. Derivative securities may be traded on an exchange or over-the-counter. Derivatives are often traded as speculative investments or to reduce the risk of one's other positions. Prominent derivative exchanges include the Chicago Mercantile Exchange and Euronext LIFFE.
References in periodicals archive ?
We also noted that only 23% could draw a distinction between artemisinin deriviatives monotherapies and their combination therapies.
The Obama administration's draft proposal for the rule would ban firms from trading on stocks, bonds, options, commodities, deriviatives or other financial instruments for the company's own trading book and not on behalf of the customer.
7 million for the losses on marketable securities and deriviatives and approximately $0.