Derivatives (Futures & Options)

Derivatives are contracts or financial instruments that derive their value from an underlying asset. The asset could be equities, commodities, currency, etc.

So when and who should invest in equities vs derivatives? Equities are primarily instruments for investment, while derivatives are used for speculation or hedging purposes.

The value of an equity is affected by a host of considerations, such as performance of the company, market conditions, investor mood, volume of buying/ selling, etc. The value of a derivative lies in the value of the underlying asset.

So if you want to make a relatively safe, long term investment, you could consider equities. But if you are comfortable handling comparatively more risk to get higher returns, you could consider F&O. 

Some reasons to invest in Derivatives (Futures and Options) with us

  • Just like for equities, if you are falling short on investible money, MOSL offers ‘Loan against shares’ facility to buy more contracts by providing stock or cash collateral
  • You can transfer funds in real-time to get instant limit or reduce risk percentage
  • If you want to understand and trade in Derivatives on your own, you can use the advanced technical analysis and charting tools integrated with MOSL advice
  • You get access to a broad range of actionable strategies customized to your risk profile and time horizon right from intraday, overnight, short term to positional calls
  • Want some more reasons to consider us for Derivatives? Read here
Disclaimer: Each of the products and their advantages mentioned on the website are provided by Motilal Oswal. We, as sub brokers of Motilal Oswal, forward them to you.