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derivative1: a word formed by derivation2: something derived3: the limit of the ratio of the change in a function to the corresponding change in its independent variable as the latter change approaches zero4 a: a chemical substance related structurally to another substance and theoretically derivable from it b: a substance that can be made from another substance5: a contract or security that derives its value from that of an underlying asset (as another security) or from the value of a rate (as of interest or currency exchange) or index of asset value (as a stock index)
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