New York will jointly host a seminar on derivatives.

"Derivatives have recently captured the headlines for all the wrong reasons,'' said Mr. John Swain, the banks's senior manager, corporate relations, alluding to derivatives losses which lead to the collapse of Barings.

A derivative is a financial instrument which derives its value from another financial instrument.

Futures, options, swaps and warrants are all derivatives.

"Derivatives, however, remain a vital, but sometimes unseen, part of a sophisticated investment strategy,'' added Mr. Swain.

The seminar, entitled Investment Solutions Using Derivatives, is slated Thursday and Friday, March 16 and 17, from 8:30 a.m. to 12:15 p.m. in the Victoria Room at the Hamilton Princess.

Representing the Bank of Bermuda will be; Mr. Peter Mellor, senior vice president and Chief Investment Officer, Mr. Jonathan Custance Baker, head of marketing, investments, and Mr. Terry West, head of Bermuda funds.

The seminar will be introduced by Mr. Ernesto de la Fe, senior vice president-resident manager, and Mr. Lundy Gordon, senior vice president investment representative, both of Lehman Brothers.

Other speakers from that bank include; Mr. Yesim Akun Roth, Mr. Philippe Burke, and Mr. Bruce Britain.

Lehman Brothers, founded in 1850, serves the financial need of corporations, institutions, government and high net worth individuals. The firm provides underwriting, advisory, trading, research and brokerage services.