Sentence examples for derive their value from inspiring English sources

-- Excerpt from "Sex and the Digital City" WILLIAM D. COHAN Gather round, people, today we are going to discuss the highly opaque but hugely important topic of "O.T.C. derivatives," or securities that derive their value from other securities and are traded between institutions "over-the-counter," rather than on an exchange where they can be more closely regulated.

The $700 trillion market for derivatives — contracts that derive their value from an underlying asset like a bond or an interest rate — allow companies to either speculate in the markets or protect against risk.

The blowups spurred a federal crackdown on the $700 trillion marketplace for financial contracts known as derivatives — contracts that derive their value from an underlying asset like a bond or an interest rate.

In that respect they are a derivative - they derive their value from the underlying share.

The $2 billion loss came from a complicated trading strategy that involved derivatives, financial instruments that derive their value from the prices of securities and other assets.

The blowups by A.I.G. and others spurred the Dodd-Frank Act, a law that mandated a sweeping overhaul of the $700 trillion marketplace for derivatives, financial contracts that derive their value from an underlying asset like a bond or an interest rate.

Wall Street's black boxes contained derivatives created out of whole cloth, deriving their value from often worthless subprime mortgages.

A state money manager began identifying bonds held by the state pension fund and money market fund investments that derived their value from Libor.

And while the biggest banks were carrying lots of trading assets on their books, Laux and Leuz show that, at the height of the bubble, straight loans and leases still constituted roughly half of their assets, while a sizable chunk of their tradeable assets were things like mortgage-backed securities, which ultimately derived their value from the (often worthless) mortgages that underlay them.

The value of a business isn't always tied to profitability; many derive their market value from the sum of property on hand.

But "there's actually no economic puzzle in this; all kinds of things derive their economic value only from the realm of the virtual," says Indiana University's Mr Castronova.