Risk Factors in Derivatives Markets

The objective of the article is to analyse and present the classification of risks actual to derivative securities. The analysis is based on classical and modern literature findings and analysis of newest statistical data. The analysis led to the conclusion, that the main risks typical for derivati...

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Main Author: Raimonda Martinkutė-Kaulienė
Format: Article
Language:English
Published: Cracow University of Economics 2015-02-01
Series:Entrepreneurial Business and Economics Review
Subjects:
Online Access:https://eber.uek.krakow.pl/eber/article/view/62
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author Raimonda Martinkutė-Kaulienė
author_facet Raimonda Martinkutė-Kaulienė
author_sort Raimonda Martinkutė-Kaulienė
collection DOAJ
description The objective of the article is to analyse and present the classification of risks actual to derivative securities. The analysis is based on classical and modern literature findings and analysis of newest statistical data. The analysis led to the conclusion, that the main risks typical for derivatives contracts and their traders are market risk, liquidity risk, credit and counterparty risk, legal risk and transactions risk. Pricing risk and systemic risk is also quite important. The analysis showed that market risk is the most important kind of risk that in many situations influences the level of remaining risks.
format Article
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institution OA Journals
issn 2353-8821
language English
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publisher Cracow University of Economics
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series Entrepreneurial Business and Economics Review
spelling doaj-art-491e5a9d06cc48b194aa143a86e7d0742025-08-20T01:57:35ZengCracow University of EconomicsEntrepreneurial Business and Economics Review2353-88212015-02-0124Risk Factors in Derivatives MarketsRaimonda Martinkutė-Kaulienė0Vilnius Gediminas Technical UniversityThe objective of the article is to analyse and present the classification of risks actual to derivative securities. The analysis is based on classical and modern literature findings and analysis of newest statistical data. The analysis led to the conclusion, that the main risks typical for derivatives contracts and their traders are market risk, liquidity risk, credit and counterparty risk, legal risk and transactions risk. Pricing risk and systemic risk is also quite important. The analysis showed that market risk is the most important kind of risk that in many situations influences the level of remaining risks. https://eber.uek.krakow.pl/eber/article/view/62riskfactorderivative securityoption contractforwardfuture contract
spellingShingle Raimonda Martinkutė-Kaulienė
Risk Factors in Derivatives Markets
Entrepreneurial Business and Economics Review
risk
factor
derivative security
option contract
forward
future contract
title Risk Factors in Derivatives Markets
title_full Risk Factors in Derivatives Markets
title_fullStr Risk Factors in Derivatives Markets
title_full_unstemmed Risk Factors in Derivatives Markets
title_short Risk Factors in Derivatives Markets
title_sort risk factors in derivatives markets
topic risk
factor
derivative security
option contract
forward
future contract
url https://eber.uek.krakow.pl/eber/article/view/62
work_keys_str_mv AT raimondamartinkutekauliene riskfactorsinderivativesmarkets