土木工程专业英语论文

Explain the nature and utilization of the main types of derivative contracts. By reference to past cases explain the main litigation risks that firms engaging in derivative contracts face

Executive summary:
Along with international financial markets in recent years increasingly prosperous, more and more enterprises use financial derivatives very actively, take risk control strategy into capital operation to low cost of additional financing and avoid risk of exchange rate, interest rate. Since 1990s, the risk of financial derivatives markets in the incident has appealed great public concerning. Financial derivatives as the most prominent representative of virtual financial both have positive features, but also negative features, which one to play the function mostly depends on the financial ecological environment it exists in. In the macro-financial, financial derivatives, when upgrading of the economic capacity of the distribution and efficiency of resources, but also improve the financial system and cumulative systemic risks. The risk of financial derivatives in micro-finance is not the unique, through a number of channels can be dispersed or transferred. For the financial derivatives market characteristics and trends of the development, take full advantage of the function of the market due to financial derivative products, while also effectively prevent related risks which is a major issue for the development of the financial markets. The paper firstly analyze the formation and functions of derivative financial instruments and its law nature, then take the analysis of the causes of the risk, at last illustrate enterprises on how to use the derivative tools and the issues should pay attention to, as well as how the state manage risk.

1. Introduction
1.1 brief descriptions of main types of derivative contracts
1.2 The nature of derivative contracts
5. Conclusion
As the globalization of world economy and international financial markets, the international economic environment is complex and changing with financial instruments innovation timely, enterprises should not shy away from the existence of derivative financial instruments, but should pay full attention to its financial management functions, avoid excessive speculation, and correctly use derivatives for corporate financial services.

Reference:
Huang Meifen, Market modernization, Implication and research on derivatives in the financial management of enterprises, May 2007
Ma Mingchen＆Li Hongyou, Accounting and Finance, Analysis on the development of financial derivatives markets and risk management, June 2006.
Wang Qianfeng＆Zhang Weixin, Political and judicial, 1, the legal nature of financial derivatives trading, No.6 Dec.10, 2006
Wang Xiaoxin＆Chang Zhonghai, Productivity study-financial and monetary, further understanding of financial derivatives function and the risk, No.4.2007