Basics Investing Stock : As an investment instrument Derivative financial instruments.

As an investment instrument : Derivative financial instruments.
Derivative financial instruments. (Derivatives) is a financial instrument that originated from a variable reference. Underlying assets in general.
Derivatives are valued based on the underlying assets (Underlying Asset) or other underlying variables (Underlying Variable).

The underlying assets. Financial instruments such as foreign exchange rates. Shares, bonds, bills, etc., or may be products or other assets.Such as oil, rice, house, car, etc., but the derivative is designated as a reference to any asset.

Examples of financial derivatives that occur in everyday life, such as contracts to buy and sell homes and land. Normally, a trading house and land.A contract to buy and sell. Buyer to deposit a certain amount to the seller, such as home, Price 3,000,000 Baht
The buyer has agreed to pay a deposit of $ 500,000 in contracts. And will be delivered in the future home for the next 6 months.

The contract between the buyer will continue to borrow money from banks. Property to buy it. If a bank approves a loan to buy it money paid for a house under contract. If buyers can not borrow money from the bank. The buyer will not be made by contract vendors will be.
Deposits to hold. Or if the buyer can sell the contract to others. The buyer will receive the deposit back. Depending on the price that buyers are able to contract to purchase.

If the selling price of homes has increased during the period of 6 months, it may be worth more.
And if home prices have declined during the 6 months it may be worth less.

Contracts to buy and to sell the house and land. One type of derivative. The agreement can be compared to an agreement.
Futures trading. This is one of the derivatives is agreed in advance. The trading house in the future may be.
The deposit is part of the current. The payment for the remaining land in the future. The agreement may have.
Prices rise or fall time. If house prices and land which is the underlying asset (Underlying Asset) may have increased or decreased during the contract.

Investors in derivatives get TFEX when the tax burden from investment income.
For an individual. In the same tax burden on investment in equities.