Derivatives Market

Derivatives Market

We provide financial solutions for our clients, individuals and corporations, that allow them to achieve their investment and risk management objectives through derivative products.

FEATURES AND BENEFITS

We specialize in: Stock Indices, Stocks, Exchange Rates and Interest Rates.

We have the ideal platforms for trading in Listed Derivatives markets such as Mexder and over the counter (OTC) markets.

TYPES OF DERIVATIVES

Forwards

Forward is a derivative contract whereby the parties agree to buy or sell a specified quantity of an asset at a specified future date and at a specified price.

The forward, unlike the future, is a contract made to measure between both parties, which is not traded on the organized market, but on OTC (over-the-counter) markets. In this way, the parties determine the conditions of said contract and there is no regulator to use.

Futures

Future is a standard contract (already created, packaged and with defined maturities), by means of which the parties agree to buy or sell a certain quantity of an asset at a certain future date at a certain price.

One party agrees to buy or sell a specified number of units of a previously defined and characterized asset, while the other party agrees to the counterpart under those conditions. In this case, the main characteristic is that the Futures are traded on regulated markets.

Swaps

Swap is a monetary asset exchange contract by which two parties agree to exchange (present) cash flows (in the event that they are Currency Swaps), in the future, and according to pre-established conditions.

These are tailor-made contracts in order to meet the specific needs of those who sign said contract. That is why they are operated, like forwards, in non-organized OTC markets.

The most common type of swap is that of interest rates, through which fixed interest rates are exchanged against variables in the same currency and on certain agreed dates.

Options

Option is a derivative financial instrument with which rights (and not obligations) to buy or sell other assets are traded. Like futures, options are traded on regulated markets.

Its operation is very similar to that of futures, but with the difference that at the time of issuance of the future collection and payment right, an economic exchange (buyer payment) called the issuance premium is generated, and that the seller receives at the beginning of the contract.