Derivatives instruments are relatively new instruments compared to financial assets such as equities and bonds. It became crucial when a fund manager shorted the housing market and caused the Global Financial Crisis in 2009. Subsequently, regulators of every exchange intensified regulations in the derivatives market. This market has since become a focal point for institutions and individual traders looking to optimise strategies for speculation, hedging, and arbitrage to mitigate risks and maximise profits. As a result, this course carries immense importance for students who are actively seeking a career in the field of finance.

Derivatives are financial weapons of mass destruction - Warren Buffett