31.   -- Restricting or eliminating financial instruments known as Trust Preferred Capital Securities.

32.   A forward is a financial instrument sold for future delivery.

33.   A derivative is a financial instrument whose value is based on another security.

34.   A derivative is a financial instrument whose value depends on the course of interest rates or other financial markets.

35.   A hedge uses financial instruments such as options to cap gas prices.

36.   A warrant is a financial instrument that gives its owner the right at a future time to buy an underlying asset at a predetermined price.

37.   About three-quarters of the fund will be loans to companies or financial instruments and the rest will be equity investments in privately held companies.

38.   But because of the short-short rule, many fund managers complained that they could not use the new financial instruments as they would like.

39.   But so too are derivatives -- financial instruments whose value goes up and down with the value of underlying stocks, bonds, currencies, or other assets.

40.   But Western investors and banks could face greater losses from the complex financial instruments known as derivatives.