Introduction to Derivatives Trading
Derivatives are financial instruments in the form of contracts, which allow the trader to trade on price changes of an underlying financial instrument (such as indices, stocks, commodities, currency) without holding them physically. Today derivatives trading is considered as their core business by many investors. Derivatives trading is fast gaining popularity due to its potential to make quick money for the investor. The trader has to carry out the due diligence and trade with in-depth knowledge and factors such as risk assessment and profitability.