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how can i trade on the stock exchange

Derivatives market Derivatives market productsTrade the benchmarks and hedge the future The segment of an exchange in which derivatives, and in particular futures and options, are traded. An option is a standardised contract between two parties.

how can i trade on the stock exchange

The buyer of an option purchases against payment of the option price premium the right to buy call or sell put a defined amount of a certain financial product at an agreed price within a certain period of time or on a specific date in the future.

A future is a standardised contract between two parties.

how can i trade on the stock exchange

The parties agree to exchange a defined quantity of an underlying asset at an agreed price at a fixed point of time in the future. Derivatives are contracts that derive their value from the performance of an underlying entity such as an asset, index, or interest rate, and is often simply called the "underlying".

Derivatives can be used for a number of purposes, including insuring against price movements hedgingincreasing exposure to price movements for speculation or getting access to otherwise hard-to-trade assets or markets.

how can i trade on the stock exchange

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