Derivatives Definition
noun
Plural form of derivative.
Wiktionary
Synonyms:
- byproducts
- derivations
- descendants
- offshoots
- outgrowths
- descents
- epiphenomena
- aetiologies
- etymologies
- geneses
- lineages
- pedigrees
- provenances
- secondaries
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other
Financial instruments whose performance is derived, at least in part, from the performance of an underlying asset, security, or index. For example, a stock option is a derivative because its value changes in relation to the price movement of the underlying stock. Futures contracts also obtain their value from the underlying product.
Webster's New World Finance
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