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derivative instrument vs over-the-counter derivative

over-the-counter derivative vs derivative instrument

derivative instrument and over-the-counter derivative both are nouns.

Word NounAdjectiveVerbAdverb
derivative instrument Yes No No No
over-the-counter derivative Yes No No No
As nouns, over-the-counter derivative is a hyponym of derivative instrument; that is, over-the-counter derivative is a word with a more specific, narrower meaning than derivative instrument:
  • derivative instrument: a financial instrument whose value is based on another security
  • over-the-counter derivative: contracts that are traded (and privately negotiated) directly between two parties, without going through an exchange or other intermediary.
Other hyponyms of derivative instrument include futures contract, option, OTC derivative.
derivative instrument (noun) over-the-counter derivative (noun)
a financial instrument whose value is based on another security contracts that are traded (and privately negotiated) directly between two parties, without going through an exchange or other intermediary.
Difference between derivative instrument and over-the-counter derivative

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