If you're familiar with or invest in exchange-traded funds, it's likely you've heard of derivatives ETFs, a category of ETFs that use derivative instruments such as futures and forward contracts, ...

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Derivatives are financial instruments that you can find in the markets. They have grown in popularity ever since their original introduction to the world. But what are the derivative financial ...

The derivatives market doesn’t deal with fungible assets. Instead, it’s a secondary market focused on the volatility of capital markets and assets. As the name implies, the financial products traded ...

Derivatives offer a tool to mitigate financial risk by hedging against adverse price movements. Investors use derivatives to control large asset amounts with minimal investments, amplifying gains but ...

Scholes for options to futures spot pricing. Understand pricing mechanisms for better financial decision-making.

Hedge documentation is important in both financial reporting and income taxation.For financial accounting purposes, on the date of the hedge, an entity must identify the hedged item, the instrument ...

Somer G. Anderson is CPA, doctor of accounting, and an accounting and finance professor who has been working in the accounting and finance industries for more than 20 years. Her expertise covers a ...