This book makes the reader aware of the background to the derivatives markets, how they have developed and their importance today. It does this by providing not only text but also a CD-ROM, Derivatives and Commodities, which contains material on derivatives to refresh the readers memory on the basics of derivatives. Clearing and Settlement of Derivatives addresses how and why derivative products are used and how the industry is structured, looking at both the exchange and over-the- counter markets. The role of the various parties is explained and the interaction between securities, commodities and derivatives explored. The key regulation that affects the use of derivatives by banks, corporate companies, institutional investors and private clients is covered and by way of example, the book reviews the various Directives affecting investment funds? use of derivatives, capital adequacy requirements on banks and guidelines for private client use. The regulations looked at will be international, making this book suitable for most UK, European, and North American markets.