Which of the following is an example of a financial derivative?

Question

Quizplus · Accepted Answer

An option to purchase stock in the future is a type of financial contract that derives its value from the underlying asset, in this case, stock. This makes it a financial derivative.

B) is not a financial derivative as it represents ownership in a company. 
C) is a fixed-income security and not a financial derivative. 
D) is a physical asset and not a financial derivative.

Which of the Following Is an Example of a Financial