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Author Mello, Carvalho De
Source CiteSeerX
Content type Text
File Format PDF
Subject Domain (in DDC) Computer science, information & general works ♦ Data processing & computer science
Subject Keyword Economic History Brazil Bmsp ♦ Institutional Development Cotton Commodity Exchange ♦ Derivative Market ♦ Main Conclusion ♦ Future Contract ♦ Institutional Development ♦ Management Model ♦ Economic History Approach ♦ Important Market Economy ♦ Future Market ♦ Financial View Point ♦ Whole Set ♦ Production Chain ♦ Risky Business ♦ Commodity Exchange ♦ Developing Country ♦ Relevant Factor ♦ Advanced Country ♦ Brazilian Economy ♦ Physical Market ♦ Paulo Commodity Exchange ♦ Launching New Contract ♦ General Objective ♦ Financial Instrument
Abstract Abstract: Launching new contracts for trading in the futures markets is an expensive and risky business. The literature about the derivative markets has discussed this topic from a financial view point. This article uses the economic history approach and methods to analyze the development of a futures contract for cotton by the São Paulo Commodities Exchange. The main conclusion is that in a developing country, in addition to all relevant factors applying to advanced countries, it is necessary to organize the production chain of the business. For this organization, BMSP engaged in the areas of learning, innovation, technology and institutional development. 1 – GENERAL OBJECTIVES The derivatives markets (forward, futures, option and swaps) are gaining a growing importance in the Brazilian economy, repeating a phenomenon which happened in some of the most important market economies of the world. A commodities exchange dealing with a whole set of financial instruments – that is, going beyond the spot and physical markets and becoming apt for trading derivatives- may be regarded as an organization based in management models and norms of conduct and performance,
Educational Role Student ♦ Teacher
Age Range above 22 year
Educational Use Research
Education Level UG and PG ♦ Career/Technical Study
Learning Resource Type Article