Individuals and institutions might also try to find arbitrage chances, as when the present purchasing price of an asset falls below the cost defined in a futures agreement to sell the property. Speculative trading in derivatives got a good deal of prestige in 1995 when Nick Leeson, a trader at Barings Bank, made poor and unauthorized financial investments in futures contracts.The real percentage of derivatives agreements utilized for hedging functions is unknown, but it appears to be fairly little. Also, derivatives contracts account for only 36% of the mean firms' overall currency and interest rate direct exposure. However, we understand that numerous companies' derivatives activities have at least some speculative element for a variety of reasons.