1. Forward contracts and futures contracts
Both parties agree to buy or sell assets of a specific quantity and quality at a specific time in the future at a specific price. form. A futures contract is a standardized contract formulated by a futures exchange, which stipulates the expiration date of the contract and the type, quantity, and quality of the assets traded.
2. A swap contract
is a contract signed by two parties to exchange certain assets in a certain period in the future. To be more precise, he said that a swap contract is a contract signed between parties to exchange cash flows that they believe have equal economic value within a certain period in the future.
3. Options trading
It is a transaction of buying and selling rights. An options contract stipulates the right to buy or sell a specific type, quantity, and quality of a native asset at a specific price at a specific time. Options contracts include standardized contracts listed on exchanges and non-standardized contracts traded over the counter.
Extended information:
Financial derivatives have the following characteristics:
1. Zero-sum game
That is, both parties to the contract transaction (In standardized contracts, it is uncertain because it can be traded) Profit and loss are completely negatively related, and the net profit and loss is zero, so it is called "zero sum".
2. Intertemporal nature
Financial derivatives are transactions in which both parties predict the trend of changes in interest rates, exchange rates, stock prices and other factors and agree on certain conditions at a certain time in the future. A contract to trade or choose whether to trade.
3. Linkage
This refers to the fact that the value of financial derivatives is closely linked to the underlying products or underlying variables, and the rules change. Usually, the payment characteristics associated with financial derivatives and basic variables are stipulated in the derivative contract, and the linkage relationship can be a simple linear relationship, or it can be expressed as a nonlinear function or a piecewise function.
Baidu Encyclopedia-Financial Derivatives