This course provides a comprehensive understanding of financial derivatives and their role in modern financial markets. It introduces the meaning, types, and economic functions of derivatives such as forwards, futures, options, and swaps. The course explores the structure and evolution of derivative markets, including market participants, regulatory frameworks, and the Indian derivatives market. Learners gain detailed knowledge of forward and futures contracts, their features, pricing, payoffs, and trading strategies. The course also covers options and swaps, focusing on contract types, valuation concepts, and strategic applications. Overall, the course equips students with both theoretical and practical insights into the use of derivatives for risk management and investment decision-making.