What Are The Advantages Of Derivatives?

1.	What Are The Advantages Of Derivatives?
Answer» Increased hedge for investors in cash market. Enhance price discovery process. INCREASES volume of transactions. LOWER transaction costs. Increased liquidity for investors and growth of SAVINGS flowing into these MARKETS. Leads to faster EXECUTION of trades and arbitrage and hedge against risk.

Answer»

Increased hedge for investors in cash market.
Enhance price discovery process.
INCREASES volume of transactions.
LOWER transaction costs.
Increased liquidity for investors and growth of SAVINGS flowing into these MARKETS.
Leads to faster EXECUTION of trades and arbitrage and hedge against risk.

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