Home > Glossary

Derivative Contract

Derivative Contract

Definition

A financial contract (i.e., a promise to pay an amount to the holder of the contract at a specified time or under specified conditions) where the value of the contract is based on certain variables, such as an index of commodity prices.

Related Products

Download Free IRMI Update White Paper
Contractual Risk Transfer
Quality Risk Management Fieldbook

Navigation

Social Media

User ID: Subscriber Status:Free