Derivative Products

Derivative products are financial contracts whose value is based on the performance of an underlying asset, such as stocks, commodities, or currencies. They are used to manage risk or speculate on future price movements. Common types include options and futures. For example, a futures contract lets you agree today on the price of an asset to be bought or sold in the future. While they can provide opportunities for profit, derivatives can also carry significant risks, making them important tools for investors and businesses to hedge against market fluctuations.