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<h1>Derivatives definition clarifies inclusion of commodity derivatives and pooled investment instruments in securities law.</h1> The Act defines derivative to include securities derived from debt instruments, shares, loans, risk instruments, contracts for differences, and contracts deriving value from prices or indices of underlying securities, and expressly includes commodity derivatives and other instruments declared by the Central Government. It defines securities to encompass shares, bonds, units or instruments issued by pooled investment vehicles, security receipts and mutual fund units, while excluding unit-linked insurance policies, and it prescribes definitions for spot delivery, ready delivery, specific delivery and transferable or non-transferable delivery contracts.