Financial derivatives, also known as derivative financial assets, are innovative financial instruments based on basic financial instruments such as money, bonds and stocks. They are based on the existence of other financial instruments and their prices are determined by these financial instruments. Specifically, derivative financial instruments include forward, futures, swap or option contracts, or other financial instruments with similar characteristics.

At present, through the combination design of various derivative technologies, a large number of derivative products with their own characteristics have appeared in the market.

Mainly includes:

1. A combination of derivatives and basic tools. For example, the combination of futures derivatives and basic tools, that is, foreign exchange futures, stock futures, stock index futures, bond futures, commercial paper futures, time deposit certificate futures and other varieties.

2. The combination of derivative instruments constitutes a "re-derivative instrument". For example, options can be combined with derivatives other than the underlying instruments. A "re-derivative tool" can be constructed. For example, options can be combined with derivatives other than the underlying instruments. A new class of derivatives can be constructed, such as "futures options" and "swap options".

3. Directly design the single parameters and properties of the derivative to generate a derivative different from the basic derivative. For example, in addition to "standard options", so-called "special derivatives" can be constructed through some additional conditions.