› CFA › CFA Level 1 › Question of the Week: Level 1 – Derivatives Search for:Search Button CFAFRMCAIACareersLounge GeneralLevel 1Level 2Level 3 Question of the Week: Level 1 – Derivatives Add A Reply Login Sign Up This topic has 1 reply, 1 voice, and was last updated Apr-206:34 am by MarkMeldrum. Author Posts MarkMeldrumParticipant Undecided 20 Apr 2020 at 8:38 pm Up13:: A derivative is least likely to be described as a financial: A. asset. B. contract. C. instrument. MarkMeldrumParticipant Undecided 24 Apr 2020 at 6:34 am Up5:: The correct answer is Option A. Derivatives are created in the form of legal contracts. Also, the most common definition of a derivative is that they are “financial instruments that derive their value from the performance of an underlying asset.” Author Posts Viewing 1 reply thread You must be logged in to reply to this topic. Log In Username: Password: Keep me signed in Register Log In