top button
Flag Notify
    Connect to us
      Site Registration

Site Registration

What is the relationship between "Derivative Transactions" and “Securities”?

+3 votes
31 views
What is the relationship between "Derivative Transactions" and “Securities”?
posted Apr 27, 2016 by Ritika Sharma

Share this question
Facebook Share Button Twitter Share Button LinkedIn Share Button

1 Answer

0 votes

Both "Derivative Transactions" and “Securities” are regulated under the FIEA as Financial Instruments/transactions with an investment character. However, since “Securities” are instruments that indicate rights whereas "Derivative Transactions" are acts, their positioning under the FIEA differs from each other. In the case of “Securities” certain acts conducted in relation to such Securities (sales and purchases, etc.) are subject to the regulations on conducting business or the regulations on activities under the FIEA, but in the case of "Derivative Transactions," the act of such transaction itself is subject to the regulations on conducting business or the regulations on activities.

answer Jun 8, 2017 by Sumeet Vyas
...