derivative
In mathematics, the limit of the gradient of a chord linking two points on a curve as the distance between the points tends to zero; for a function of a single variable, y = f(x), it is denoted by f ′(x), Df(x), or dy/dx, and is equal to the gradient of the curve.
derivative
| Financial instrument whose value is derived from underlying assets, be they commodities, currency, debt, or other financial instruments. Futures, options, and swaps are all examples of derivatives. Traded in their own market, derivatives are a specialist, highly geared, high-risk, speculative form of trading. The risk associated with them was something derivative trader Nick Leeson and his employer, Barings Bank, found out to their cost. |
