Derivatives: DefinitionDerivatives • March 1st, 2018
– a financial instrument (or more simply, an agreement between two or more people whose value depends on (i.e., derived from) the values of other financial instruments (i.e. its underlying assets).
DerivativesDerivatives • May 14th, 2006
An FRA is a forward contract in which one party, the long, agrees to pay a fixed interest payment at a future date and receive an interest payment at a rate to be determined at expiration. Therefore, when you long a FRA, you are expecting the prevailing interest rate in that specified period will go up.
ContractDerivatives • July 12th, 2010
