2007-09-23 23:43:57 · 6 answers · asked by Anonymous in Business & Finance ➔ Investing
A derivative is an instrument that "derives" it's value from another instrument, like the value of an option depends on the value of an underlying stock share or futures contract.
A spread is the relative value of one instrument to another. They could be derivatives or not. Like long Ford and short GM. You don't care about how the market does of even the auto industry. You make money if Ford does better than GM.
2007-09-24 01:00:51 · answer #1 · answered by Ted 7 · 0⤊ 0⤋
1
2016-12-25 03:57:01 · answer #2 · answered by Anonymous · 0⤊ 0⤋
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2015-01-26 01:45:40 · answer #3 · answered by Anonymous · 0⤊ 0⤋
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2016-04-28 10:24:40 · answer #4 · answered by ? 3 · 0⤊ 0⤋
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2016-05-15 19:46:10 · answer #5 · answered by ? 2 · 0⤊ 0⤋
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2016-02-15 18:49:16 · answer #6 · answered by Anonymous · 0⤊ 0⤋
look into bull bear trade
2007-09-24 10:02:24 · answer #7 · answered by vic 1 · 0⤊ 0⤋