Subject category:
Finance, Accounting and Control
Originally published in:
2016
Abstract
This case study is an introduction to forward / futures contracts and options and their use in terms of hedging and / or speculation. It starts by giving the motivation for derivatives markets, that is providing hedging tools. It then defines precisely two particular types of derivatives contracts: forward or futures and options. Finally, the case ends with the study of the different possibilities faced by a farmer that wants to diminish his risks.
Subject category:
Finance, Accounting and Control
Originally published in:
2016
Length: 3 pages
Data source: Field research
About
Abstract
This case study is an introduction to forward / futures contracts and options and their use in terms of hedging and / or speculation. It starts by giving the motivation for derivatives markets, that is providing hedging tools. It then defines precisely two particular types of derivatives contracts: forward or futures and options. Finally, the case ends with the study of the different possibilities faced by a farmer that wants to diminish his risks.
Related
Subject category:
Finance, Accounting and Control
Originally published in:
2016
Length: 3 pages
Data source: Field research