1. Introduction
a. define a derivative and distinguish between exchange-traded and over-the-counter derivatives;
What is a derivative? A derivative is a financial instrument that offers a return based on the return of some other underlying asset.
Source:
CFA
Graph:
- 115.080.01 Derivatives - Reading 48 - Derivative Markets and Instruments to 115.080.01.01 Derivatives - Reading 48 - 1. Introduction