The Value of a Derivative

The value of that control is what drives the value of your security. The derivatives will go all over the place as far as their value. But the key thing is to notice that they can be hugely valuable, or they can be worthless. If you had a call option on x y z corp and if that call option and you could buy at 30 bucks, and you paid two dollars for it,you've profited eight dollars. You have an unlimited risk of loss,. ecause youa not unlimited technically you you have the risk of total loss, where you can lose all the two lars.