Question: QUESTION 1 (20 MARKS) a) Define financial derivatives and state FOUR (4) common categories of derivatives instruments. (6 marks) b) Differentiate between commodity and financial

QUESTION 1 (20 MARKS) a) Define financial derivatives and state FOUR

QUESTION 1 (20 MARKS) a) Define financial derivatives and state FOUR (4) common categories of derivatives instruments. (6 marks) b) Differentiate between commodity and financial derivatives. (6 marks) c) Briefly discuss the comparison of trading method between open-outcry system and computerised system. Provide TWO (2) the advantages and disadvantages for each method. (8 marks)

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