A Derivative Security Is A

A derivative security is a:

A) Financial asset that derives its value based solely on values in the futures market.
B) Real asset whose value is based on the market value of a financial asset.
C) Financial asset that represents a claim to another financial asset.
D) Financial asset with a life equal to the life of the underlying asset.
E) Real asset that obligates both the buyer and the seller to complete an exchange on a predetermined date at a predetermined price.