Articles - Currency Commodity
What are Currency Derivatives & Its Meaning?
Currency derivatives are a type of futures and options contract traded on a formalized exchange market (for example, the National Stock Exchange of India, NSE). As a standardized contract, currency derivatives have fixed lot sizes and expiration dates, thus involving minimal counterparty risks. Both futures and options contracts for currency derivatives are margin-based and follow the rules and regulations of the intermediary clearinghouse. Click here for an introduction to currency derivatives.


