{"id":1022382,"date":"2023-07-24T10:22:54","date_gmt":"2023-07-24T10:22:54","guid":{"rendered":"https:\/\/fmdqgroup.com\/exchange\/?post_type=market-products&#038;p=1022382"},"modified":"2025-10-09T12:48:35","modified_gmt":"2025-10-09T12:48:35","slug":"derivatives","status":"publish","type":"market-products","link":"https:\/\/fmdqgroup.com\/exchange\/market-products\/derivatives\/","title":{"rendered":"Derivatives"},"content":{"rendered":"<p><!--StartFragment -->Derivatives are financial market products whose values are derived from an underlying or group of underlyings, which can be bonds, stocks, commodities, precious metals, market indices, interest rates, etc. As a risk management tool, derivatives present a useful risk management tool for implementing risk mitigation or hedging strategies against financial risks, while also representing an alternative investment asset class, useful for pursuing cost-friendly diversification and investment strategies.<\/p>\n<p>In the broader financial markets, they play a vital role in the supporting price discovery, competitiveness and market efficiency which helps attract capital flows, reduce cost of capital and deepen the financial markets, in support of economic development.<\/p>\n<p>FMDQ Exchange is a pioneer in the Nigerian financial markets for organising Derivatives markets.<\/p>\n<p>\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/wp-content\/uploads\/2022\/03\/OTC-FX-Futures-Open-Contracts-March-16-2022.pdf\" target=\"_blank\"><br \/>\n\t\t\t\t\t\tOTC FX Futures Open Contracts<br \/>\n\t\t\t\t\t<\/a><\/p>\n<ul>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/market-products\/bonds\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\t\t\t Bonds<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/market-products\/commercial-papers\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\t\tcommercial papers<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/market-products\/treasury-bills\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\t\tTreasury Bills<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/market-products\/foreign-exchange\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\t\tForeign Exchange<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/market-products\/funds\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\t\tfunds<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/market-products\/equities\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\t\tequities<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<\/ul>\n<p>\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/otc-derivatives\/\"><br \/>\n\t\t\t\t\t\tCleared Naira-Settled<br \/>Non-Deliverable Forwards<br \/>\n\t\t\t\t\t<\/a><br \/>\n\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/exchange-traded-derivatives\/\"><br \/>\n\t\t\t\t\t\tExchange-Traded<br \/> Derivatives<br \/>\n\t\t\t\t\t<\/a><\/p>\n<ul>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/Q-Estimator\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\tQ-Estimator<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/derivatives-podcast\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\tFMDQ Q-Dialogue<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/insights\/thought-leadership\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\tThought Leadership Articles<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/www.youtube.com\/playlist?list=PLbe0_WXIuiO2KNOjD3-BgYjOPvvn6jWes\"><br \/>\n\t\t\t\t\t\t\t\t\t\tFMDQ Derivatives Market Explainer Videos<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<li>\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/fmdqgroup.com\/exchange\/depositary-receipts\/\"><br \/>\n\t\t\t\t\t\t\t\t\t\tDepositary Receipts<br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t<\/li>\n<\/ul>\n","protected":false},"featured_media":0,"parent":0,"template":"","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center 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