The Complete Guide to Investing In Derivatives provides a comprehensive outlook on every detail involved in trading within these complex, more advanced markets. You will not only understand how derivatives investing work, but you can also start making incredibly high returns on a regular basis, all while minimizing your risk. You will learn why it is important to know everything about derivatives before you start to trade and the vital use of risk analysis and management to maintain the economic stability of your portfolio. This book also contains the various different option pricing models and trading strategies, and also how the continuous time option pricing model operates in different markets.
This guide will teach you exactly what derivatives are and how the various different forms, including forwards contracts, futures contracts, and options, allow you to make trades different from what you normally have.
The prices of commodities, exchanges rates, and interest rates as they apply to derivatives will be discussed, including how they are established.
You'll learn about the various forms of futures, such as stock index futures, Treasury bond and Treasury note futures, and also Treasury bill and Eurodollar futures.
Through this guide, you'll learn:
What a contract provides
How the futures market operate
What taxes and commissions you can expect in futures trading
What people are currently working on in the futures market