Analysis of legal and jurisprudential aspects of currency derivativs and their effects

Analysis of legal and economical aspects of currency derivatives and theirs effects.Derivatives are one of the financial instruments of capital market. Considering the nature of the basic asset, derivatives are categorized in three different types including :currency derivatives, securities derivatives, and commodity derivatives.Currency derivatives are the financial instruments of the money market. Money market participants are utilizing these derivatives with different purposes.Currency derivatives divided in to three main types as follows: currency options, currency swap and currency futures.One of the functions of the currency derivatives is to manage the risks of the currency price fluctuations.Although Iran economy always affected by the risk of the currency price, fluctuations which have had main effects to the economy activities during different periods and considering that the currency derivatives are useful instruments for risk management , but the legal nature , requirements and effects of this derivatives are not considered in Iranian law and therefor required mechanisms for establishment of integrated market of currency derivatives have not been formed in iran.This article argues about some legal issues related to the currency derivatives including their legal nature , basis and effects.