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The Banking System and the Derivatives: The State of the Art and the Management Mechanisms
International Journal of Economics, Finance and Management Sciences
Volume 4, Issue 5, October 2016, Pages: 309-313
Received: Jan. 3, 2016; Accepted: Apr. 5, 2016; Published: Oct. 27, 2016
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Mostéfaoui Sofiane, Department of Management Sciences, University of Adrar, Adrar, Algeria
Yousfat Ali, Department of Management Sciences, University of Adrar, Adrar, Algeria
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The financial transactions witnessed an explosion and huge dealings with financial derivatives. The sense of these assets comes from the dependence of their values on the principal ones (the original asset: bond, equity, exchange rate…). The objective behind the emergence and the wide uses of them is to hedge the financial securities against risks and reduce the volatility of their revenues. This paper attempts to shed light on the impact of the financial derivatives on the safety and soundness of the banking system by analyzing the determinants of this impact and the sensitiveness of the banking system to risks associated by the usage of the financial derivatives.
Financial Derivatives, Risks, Banking System
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Mostéfaoui Sofiane, Yousfat Ali, The Banking System and the Derivatives: The State of the Art and the Management Mechanisms, International Journal of Economics, Finance and Management Sciences. Vol. 4, No. 5, 2016, pp. 309-313. doi: 10.11648/j.ijefm.20160405.22
Copyright © 2016 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License ( which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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