Derivatavtaler

Derivatavtaler, or derivative contracts, are financial instruments whose value derives from the performance of an underlying asset, rate, or index. They are used for hedging, speculation, and arbitrage, allowing parties to gain exposure to price movements without owning the underlying asset. Derivatives can be settled in cash or by delivery and can reference a wide range of underlying assets such as commodities, currencies, interest rates, equities, or market indices.

Common types include forwards, futures, options, and swaps. Forwards are private, customizable agreements to buy or sell an asset at a set price on a future date. Futures are standardized contracts traded on exchanges with daily settlement and margin requirements. Options give the holder the right, but not the obligation, to buy or sell at a specified strike price. Swaps involve exchanging cash flows, such as interest-rate swaps or currency swaps, to alter future risk profiles or funding costs.

Derivatives can be exchanged-traded (ETD) or traded over-the-counter (OTC). ETDs are standardized and cleared through exchanges, while OTC derivatives are negotiated privately and may carry higher counterparty risk but offer customization. Regulation has emphasized clearing and margin requirements to reduce systemic risk, with frameworks such as EMIR in Europe and the Dodd-Frank Act in the United States, along with standardized ISDA master agreements for many OTC transactions.

Market participants include corporations, banks, hedge funds, and asset managers. Valuation relies on models that account for underlying prices, volatility, time to maturity, interest rates, and other factors. Key risks include leverage and market, liquidity, and counterparty credit risk, as well as model risk and regulatory changes.