NISM Series IV: Currency Derivatives Certification Exam Notes

Page 17 Of 100

Go to:

  • Margin Requirements: Ensure financial integrity in exchange-traded derivatives.
  • Market Participants’ Roles: Vary based on risk appetite and objectives.
  • Interest Rate Sensitivity: Derivatives are highly sensitive to rate changes.
  • Liquidity Risk: OTC derivatives may face lower liquidity than exchange-traded.
  • Counterparty Risk: Higher in OTC due to lack of central clearing.

NISM Interest Rate Derivatives

Copyright 2025 - MODELEXAM MODELEXAM®