Q. What is a basic feature of derivatives?

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Q. What is the usual characteristic of the notional face value in derivatives?

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Q. What is an Embedded Derivative?

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Q. What is the purpose of a Commodity Derivative?

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Q. What characterizes Over the Counter (OTC) Derivatives?

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Q. What are Exchange-Traded Derivatives?

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Q. How are prices typically handled in Exchange-Traded Derivatives?

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Q. How do speculators use derivatives?

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Q. What happened in 1995 that brought notoriety to speculative trading in derivatives?

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Q. How do investors use derivatives for risk management?

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Q. What is one purpose of providing leverage in derivatives trading?

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Q. In what situation do investors use derivatives for speculation?

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Q. Why might a business firm use derivatives?

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Q. What is the adverse effect regarding the use of derivatives?

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Q. What are the two classes of derivative contracts?

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Q. What is one of the oldest derivatives with a history tracing back to the eighteenth century?

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Q. How are derivatives categorised based on their pay-off profile?

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Q. What is the primary distinction between "Lock" and "Option" products?

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Q. How are derivatives commonly used for risk management?

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Q. In finance, where are Forward contracts, Swap, and different types of options regularly traded?

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