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Who uses derivative securities?

Comparison criteria	Hedging (Hedgers)	Speculators	Arbitrageurs
Purpose	Preventing price volatility risks	Place bets on future volatility in the opposite direction of hedger Increased profits through financial leverage	Take advantage of market valuation different Seeking risk-free profits
Risk appetite	Risk aversion	Accept high risk
Participants	Financial institutions Non-financial institution Investors Government	Organization Retail Investor	Usually a financial institution, business organization on the DS market
Position	Underlying assets and Derivative Securities (concurrently)	Derivative securities	Simultaneously buy and sell the same tool in two different markets Simultaneously buy and sell on the spot and DS markets