## Examples of *Derivatives* in a sentence

**Derivatives**are also categorised as held for trading unless they are designated as hedges.For the purposes of this subparagraph (i), ISDA Rate for an Interest Period means a rate equal to the Floating Rate that would be determined by the Agent under an interest rate swap transaction if the Agent were acting as Calculation Agent for that swap transaction under the terms of an agreement incorporating the 2006 ISDA Definitions, as published by the International Swaps and

**Derivatives**Association, Inc.**Derivatives**are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative.For the purposes of this sub-paragraph (A), "ISDA Rate" for an Interest Period means a rate equal to the Floating Rate that would be determined by the Agent under an interest rate swap transaction if the Agent were acting as Calculation Agent for that swap transaction under the terms of an agreement incorporating the 2006 ISDA Definitions, as published by the International Swaps and

**Derivatives**Association, Inc.It adds certainty to the returns without sacrificing liquidity.IllustrationThe following are illustrations how

**derivatives**work:Basic Structure of an Interest Rate Swap Counter Party 2 Counter Party 1🡪 Floating Interest Rate🡨 Fixed Interest RateIn the above illustration, Basic Details: Fixed to floating swap Notional Amount: Rs. 5 CroresBenchmark: NSE MIBORDeal Tenor: 3 months (say 91 days)Documentation: International Swaps and**Derivatives**Association (ISDA).