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Derivatives instruments used to hedge risk in the tanker freight markets. Tankers are one of the most common means of transporting commodities such as oil and coal. Freight derivatives, such as swaps or forward freight agreements (FFA), can be used to protect ship owners against changes in freight rates. Commonly traded on the Baltic Exchange, dry (bulk) and wet (crude) freight derivatives are traded for particular routes and forward months in standardised sizes of vessel.