We discuss how derivatives markets based on five types of financial assets - interest rate derivatives, foreign exchange derivatives, credit derivatives, stock derivatives, and commodity derivatives - are used by around 90% of large companies in various industries to manage their business risks. This includes avoiding the impact of exchange rate fluctuations, interest rate changes, and unexpected increases in input costs, through the use of instruments like interest rate swap contracts, currency contracts, and commodity contracts. Derivatives markets play a crucial role in helping companies manage their risk and ensuring stability in the economy.
WhatsApp 0014702062832
Leave a comment