A study on the technical analysis of derivative stock futures

Type :

Indian project

Pages :

39 pages

Format :

.doc

Published date :

04/21/2009

Category :

Economics & finance

Sub category :

Finance

Oboulo.com selection criteria

$ 19.95 Add to cart

Summary :

Introduction
A study of Indian securities markets
1. Objectives and methodology of the study
2. Significance of the study
Review of literature
1. Difference between derivative and shares
2. Types of derivative
Chronology of derivative market in India
A regulatory framework
Introduction to futures
1. Types of futures
Case studies on futures
Sources of data collection
Company profile
Data analysis
Conclusion and suggestions
Bibliography

Abstract

As Indian securities markets continue to evolve, market participants, investors and regulators are looking at different ways in which the risk management may be efficiently met through the introduction of derivative markets. Through the use of derivative products, it is possible to partially or fully transfer price risks by locking in asset prices. As instruments of risk management, these generally do not influence the fluctuations in the underlying asset prices. Derivatives are risk management instruments, which derive their value form an underlying asset. The underlying asset can be bullion, index, share, bonds, currency, interest etc. banks, securities firms, companies and investors to hedge risks, to gain access to cheaper money and to make profit, uses derivatives. Derivatives are likely to grow even at a faster rate in future. However, the advent of modern day derivative contracts is attributed to the need for farmers to protect themselves from any decline in the price of their crops due to delayed monsoon, or overproduction. The first 'futures' contracts can be traced to the Yodoya rice market in Osaka, Japan around 1650. These were evidently standardized contracts, which made them much like today's futures. The Chicago Board of trade (CBOT), the largest derivative exchange in the world, was established in 1848 where forward contracts on various commodities were standardized around 1865. From then on, futures contracts have remained more or less in the same form, as we know them today.