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Bullion Market
[…] including economic indicators, geopolitical events, and shifts in investor sentiment. As a result, it plays a crucial role in shaping investment strategies, diversifying portfolios, and providing a hedge against…
Diversifying In The Time of Market Volatility
While most investors have faced the brunt of volatility, those with well-diversified portfolios have managed to minimize their losses. Today, we will talk about investors who didn’t pay enough attention…
Nifty Futures
[…] multiple sectors. Leverage: Nifty futures provide leverage, enabling traders to control a large contract value with a smaller margin amount. Hedging: Investors can use Nifty futures to hedge against…
Introduction To Derivatives
[…] needs wheat and is willing to contract to buy 50,000 bushels of wheat at a price of $8.50 per bushel in six months. The contract provides a hedge for…
What are Derivatives
[…] asset’s price movements determine how much a contract is worth. Derivatives can be used to leverage holdings, speculate on the direction of an underlying asset’s movement, and hedge a…
Financial Market
[…] markets involve trading financial contracts whose value derives from an underlying asset, such as stocks, bonds, commodities, or currencies. Derivatives enable investors to speculate on price movements, hedge risks,…
What is Protective Put?
[…] surprises impacting asset prices. Uncertain Market Conditions: When market indicators suggest uncertainty or conflicting signals about future market direction, investors may choose to use protective puts to hedge against…
MCX Silver
[…] this precious metal. Silver as an Investment In recent years, silver has emerged as a famous investment avenue. Investors view it as a tangible asset with a hedge against…
Short Sell and what are the associated Risks?
[…] the most common reasons for short selling is that an investor has a long position in a linked security. To protect himself from the negative risk, he hedges the…
Understanding Derivatives Market In Stock Market
[…] terms. Thus derivative market is a market in which derivatives are traded. In short, it is a market for derivatives. The traders in the derivative markets are hedgers, speculators…