A Detailed Study on The Derivatives Market in India and Private Investments with Special Emphasis on The Pandemic Situation

Abstract

Derivative instruments are the main instruments for the private investments to hedge the risk in their existing positions. Previously the investments were only concerned with primary financial securities such as Equity, Fixed-income securities such as bonds, debt securities and other primary investments. Due to the emergence of derivative market, it provided the opportunity to the investors that they can safeguard their existing position through structured combination of different securities. This project focuses on detailed study on derivative market and its insights in Indian conditions, the study goes by descriptive way and then the secondary data collected by NSE/ BSE and other sources are analysed to obtain a conclusion on conditions related to derivative market and its response to adverse pandemic situation during 2020-2021.