Derivative

{
  "id": "MLC-T-INS-001137",
  "term": "Derivative",
  "field": "Insurance and risk management",
  "definition": "A financial contract whose value is derived from an underlying asset, index, or interest rate. These instruments are used in risk management to hedge against price fluctuations or to speculate on market movements. Common types include futures, options, swaps, and forward contracts, each with specific characteristics regarding obligation and payoff structure.",
  "url": "https://mlchart.com/terminology/insurance/derivative/"
}