Question: The financial crisis in 2008 has caused the derivatives instruments to be blamed for increasing systemic risk. Although derivatives were not a central cause of the crisis, the complexity and limited transparency of the market reinforced the potential for excessive risk-taking, as regulators did not have a clear view into how derivatives were being used. Critically evaluate the historical roots of derivative trading, types of derivative products, regulation and policy developments, trend and growth, future prospects and challenges of derivative market in Malaysia.

• Critically evaluate the historical roots of derivative trading.

• Critically evaluate the types of derivative products of derivative market in Malaysia.

• Critically evaluate the types of regulation and policy developments of derivative market in Malaysia.

• Critically evaluate the types of trend and growth of derivative market in Malaysia.

• Critically evaluate the future prospects of derivative market in Malaysia.

• Critically evaluate the challenges of derivative market in Malaysia.