OPTIONS, FUTURES, AND OTHER DERIVATIVES：期权，期货及其他衍生工具.pptVIP

Summary A forward or futures contract involves an obligation to buy or sell an asset at a certain time in the future for a certain price. There are two types of options: calls and puts. A call option gives the holder the right to buy an asset by a certain date for a certain price. A put option gives the holder the right to sell an asset by a certain date for a certain price. * Three main types of traders can be identified: hedgers, speculators, and arbitrageurs. Hedgers are in the position where they face risk associated with the price of an asset. They use derivatives to reduce or eliminate this risk. Speculators wish to bet on future movements in the price of an asset. They use derivatives to get extra leverage. Arbitrageurs are in business to take advantage of a discrepancy between prices in two different markets. * * OPTIONS, FUTURES, AND OTHER DERIVATIVESChapter 1 Introduction Introduction A derivative= A financial instrument Forward, futures, options and swaps markets Hedgers, speculators, and arbitrageurs * A derivative can be define as a financial instrument whose value depends on (or derives from) the values of other, more basic, underlying variables. Very often the variables underlying derivatives are the prices of traded assets. However, derivatives can be dependent on almost any variable. * Exchange-traded markets History of derivatives exchange Introduction of CBOE Open outcry system to electronic markets * A derivatives exchange is a market where individuals trade standardized contracts that have been defined by the exchange. Derivatives exchanges have existed for a long time. The Chicago Board of Trade (CBOT) was established in 1848 to bring farmers and merchants together. Initially its main task was to standardize the quantities and qualities of the grains that were traded. Within a few years the first futures-type contract was developed. It was known as a to-arrive contract. Speculators soon