INDIAN DERIVATIVES MARKETS 1 Asani Sarkar 1 I gratefully acknowledge the assistance of Arkadev Chatterjea, Neel Krishnan, Golaka C. Nath and V. Soundararajan in the preparation of this article. The views expressed in this article are mine alone, and do not necessarily reflect those of the Federal Reserve Bank of New York, or the Federal Reserve System. Derivatives OUP 1 1. Rise of Derivatives The global economic order that emerged after World War II was a system where many less developed
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markets are important constituents of the financial market of any country. Similarly, commodity derivatives markets play a crucial role in price risk management as well as price discovery in any agriculture dominated economy like India. The present study is related with the derivative market in different commodities in India. The study has tried to describe about the various functions of commodity derivatives market like the players (hedgers, speculators, and arbitrages), the functions of a commodity
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BUSINESS STUDIES | Indian and Chinese Derivative Markets | A Comparative Analysis | Submitted to: Dr. Kumar BijoyBy: Anney Banderwal - 75112Larika Azad- 75130Ayushi Sharma- 751142/18/2014 | Contents Acknowledgement 3 Introduction 4 History and Evolution 4 Medieval Europe 5 A Major Step Forward 6 The New World 7 The Computer Age 8 India 8 China 10 Comparative Study 12 Exchanges and Instruments 12 Regulatory Aspects 14 India 14 China Regulatory Framework 19
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are sizable, expanding and fast growing. Asia specific derivative market has hold nearly 40 percent of world capitalization in 2015 and having annual volume of 9.7 Billion. Markets in countries like Japan, Korea, Malaysia, China, India and Korea are also sizable. Indian, China and Malaysia were second tier exchange in derivative market but growing rapidly. 2.0 Development of Derivative Market 2.1 Malaysia Malaysia start joining the derivative market trading community in October of 1980’s with the
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Impact of derivative trading on the volatility in the stock market of India -Abhinav Barik Abstract This research paper focuses on the impact the derivative trading has had on the stock market of India. The impact is judged by the change in the volatility after the introduction of the derivative trading. In this paper 5 stocks are taken on which derivative trading was introduced and 4 stocks on which derivative trading was not introduced. The daily closing price of those stocks was taken for
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Commodity Derivatives Market in India: Development, Regulation and Future Prospects Introduction The Indian economy is witnessing a mini revolution in commodity derivatives and risk management. Commodity options trading and cash settlement of commodity futures had been banned since 1952 and until 2002 commodity derivatives market was virtually nonexistent, except some negligible activity on an OTC basis. Now in September 2005, the country has 3 national level electronic exchanges and 21 regional
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A PROJECT REPORT ON “Analysis of derivative segment (Future & Options Market) of capital market” SUBMITTED BY: RAVINDER SINGH NEGI NRS/011304 In the partial fulfillment of the requirement as per THE INSTITUTE OF COST AND WORKS ACCOUTANT OF INDIA Institute of Cost and Works accountant of India Delhi Office 3, Institutional Area Lodhi Road, New Delhi - 110003 Phones: 011-24622156, 24521492 Fax: 011-43583642, 24622156
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WEATHER DERIVATIVE- A TOOL FOR WEATHER RISK HEDGING Most of the industries in the world are directly or indirectly affected by weather changes. Due to the adversity of global warming and the burning of fossil fuels, the weather has become quite unpredictable. Every now and then occurrence of drought, heavy and scanty rainfall is seen. As a result agriculture output becomes very irregular and this entails heavy losses not only to the farming community but also to the related industries. Although
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PG-Fin Hedging through derivatives The basic purpose of derivatives is to provide the protection against unfavorable movements of the price at future date in order to reduce the financial risk. In other words, by the use of these instruments we can transfer the risk from those participants who desire to avoid it to the participants who are ready to accept the same. Any gain or loss in the original portfolio will be offset by a similar loss or gain in the derivative product used to hedge the portfolio
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SPEECH Indian Derivatives Market - A Regulatory and Contextual Perspective Shyamala Gopinath Indian Derivatives Market - A Regulatory and Contextual Perspective* Shyamala Gopinath Let me first thank Euromoney for inviting me for this seminar on Indian derivatives market. The esoteric world of derivatives has come into sharp focus in recent times precisely on account of their complexity and recent events have triggered a debate on their impact on the financial system stability. My discussion
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