benefits of digital currency, Reviews

Second, the dependence of derivative financial products on the stock marketThe existence and development of derivative financial commodity market is based on the stock market. The stock market provides the pricing basis and trading objects for derivative financial products. If the stock market does not rise, derivative financial products will lose the source of their price changes. For example, stock index futures are futures contracts with the stock index as the target. If the stock index does not rise for a long time, it will be difficult to attract investors and its market value will be greatly reduced.1. The economic barometer function of the stock market icon

2. The function of capital accumulation and resource allocation in the stock market.Second, the dependence of derivative financial products on the stock market2. The function of capital accumulation and resource allocation in the stock market.

For investors, the stock market provides a way to directly participate in enterprise growth and profit sharing. When buying stocks, investors actually become shareholders of the enterprise and have the right to share the dividend icon and capital appreciation of the enterprise. If the stock market does not rise, investors' income will not be guaranteed, which will weaken investors' confidence in the whole financial market.