Currency options is "a contract giving the buyer the right but not the obligation to exchange a specified amount of one currency into another specified currency on or before a specified date at a specified rate of exchange. The buyer (holder) of the option pays a 'premium' to its writer (seller)". An option is a contract that gives the holder [...]
A commodity futures is a contractual agreement between two parties to buy or sell a specified quantity and quality of commodity at a certain time in the future at a certain price agreed upon at the time of entering into the contract on the commodity futures exchange. The primary objective for any futures exchange is effective price discovery and efficient [...]
In this article we will discuss about:- 1. Introduction to Stock Index Futures 2. Stock Index Futures World Over 3. Features of Stock Index Futures 4. Trading in Stock Index Futures 5. Pricing of Stock Index Futures Contract 6. NSE's Volatility Index: India VIX 7. Speculation in Stock Index Futures Trading 8. Hedging with Stock Index Futures 9. Reasons for [...]