Derivative: Difference between revisions

Jump to navigation Jump to search
2,363 bytes removed ,  12 December 2020
no edit summary
No edit summary
No edit summary
 
(2 intermediate revisions by the same user not shown)
Line 1: Line 1:
{{anat|isda|{{subtable|'''[[Financial instrument - FCA Rulebook Term|Financial Instruments]]'''
{{def|Derivative|/dɪˈrɪvətɪv/|n|{{subtable|{{financial instruments}}}}}}
 
(1) [[Transferable securities]]; <br>
(2) [[Money-market instrument]]s; <br>
(3) [[Units in collective investment undertakings]] ({{tag|UCITS}});  <br>
(4) [[Option]]s, [[future]]s, [[swap]]s, [[forward rate agreement]]s and any other [[derivative contract]]s relating to securities, currencies, interest rates or yields, or other derivatives instruments, financial indices or financial measures which may be settled physically or in cash;  <br>
(5) [[Option]]s, [[future]]s, [[swap]]s, [[forward rate agreement]]s and any other [[derivative contract]]s relating to [[commodities]] that must be settled in cash or may be settled in cash at the option of one of the parties (otherwise than by reason of a default or other termination event); <br>
(6) [[Option]]s, [[future]]s, [[swap]]s and any other [[derivative contract]] relating to [[commodities]] that can be physically settled provided that they are traded on a regulated market and/or an MTF; <br>
(7) [[Option]]s, [[future]]s, [[swap]]s, [[forward]]s and any other [[derivative contract]]s  relating to [[commodities]], that can be physically settled not otherwise mentioned in C.6 and not being for commercial purposes, which have the characteristics of other derivative financial instruments, having regard to whether, inter alia, they are cleared and settled through recognised clearing houses or are subject to regular margin calls;
(8) [[credit derivatives|Derivative instruments for the transfer of credit risk]]; <br>
(9) Financial [[contract for differences|contracts for differences]]; <br>
(10) Options, futures, swaps, forward rate agreements and any other derivative contracts relating to climatic variables, freight rates, emission allowances or inflation rates or other official economic statistics that must be settled in cash or may be settled in cash at the option of one of the parties (otherwise than by reason of a default or other termination event), as well as any other derivative contracts relating to assets, rights, obligations, indices and measures not otherwise mentioned in this Section, which have the characteristics of other derivative financial instruments, having regard to whether, inter alia, they are traded on a regulated market or an MTF, are cleared and settled through recognised clearing houses or are subject to regular margin calls. <br>}}}}
A [[financial instrument]], feared in Nebraska as some kind of [[Financial weapons of mass destruction|WMD]], in the cradle of the Levant as a sort of Godless gambling contract, amongst commodity producers of the Midwest (other than that one fellow in Omaha) as a legitimate [[hedging]] activity, and for legions of patient [[negotiator|negotiators]] in London, New York, Hong Kong and the thriving satellite constellation of low-cost jurisdictions from Bangalore to Nashville, a steady, dreary, unglamorous means of keeping home fires stoked and food upon the table.
A [[financial instrument]], feared in Nebraska as some kind of [[Financial weapons of mass destruction|WMD]], in the cradle of the Levant as a sort of Godless gambling contract, amongst commodity producers of the Midwest (other than that one fellow in Omaha) as a legitimate [[hedging]] activity, and for legions of patient [[negotiator|negotiators]] in London, New York, Hong Kong and the thriving satellite constellation of low-cost jurisdictions from Bangalore to Nashville, a steady, dreary, unglamorous means of keeping home fires stoked and food upon the table.


Could be a [[swap]]<ref>Also, fondly, known as a [[sw-ŏp]], but ''never'' a [[sw-æp]]. [[Swap does not rhyme with crap|Swaps aren’t, and don’t rhyme with, crap]].</ref>, an [[option]] or a [[future]]  
Could be a [[swap]]<ref>Also, fondly, known as a [[sw-ŏp]], but ''never'' a [[sw-æp]]. [[Swap does not rhyme with crap|Swaps aren’t, and don’t rhyme with, crap]].</ref>, an [[option]] or a [[future]].


Not, and especially now in light of the fabulous parallel regulation of the [[Securities Financing Transactions Regulation]], a [[stock loan]] or a [[repo]].
Not, and especially not now, in light of the fabulous parallel regulation of the [[Securities Financing Transactions Regulation]], a [[stock loan]] or a [[repo]].


==Warning: boring stuff below this line==
==Warning: boring stuff below this line==

Navigation menu