Futures contract - Knowledge

1558:—as any deviation from the theoretical price will afford investors a riskless profit opportunity and should be arbitraged away. We define the forward price to be the strike K such that the contract has 0 value at the present time. Assuming interest rates are constant the forward price of the futures is equal to the forward price of the forward contract with the same strike and maturity. It is also the same if the underlying asset is uncorrelated with interest rates. Otherwise, the difference between the forward price on the futures (futures price) and the forward price on the asset, is proportional to the covariance between the underlying asset price and interest rates. For example, a futures contract on a zero-coupon bond will have a futures price lower than the forward price. This is called the futures "convexity correction". 1773:. Storage costs are costs involved in storing a commodity to sell at the futures price. Investors selling the asset at the spot price to arbitrage a futures price earns the storage costs they would have paid to store the asset to sell at the futures price. Convenience yields are benefits of holding an asset for sale at the futures price beyond the cash received from the sale. Such benefits could include the ability to meet unexpected demand, or the ability to use the asset as an input in production. Investors pay or give up the convenience yield when selling at the spot price because they give up these benefits. Such a relationship can be summarized as: 1441:− the amount specified of the underlying asset of the contract is delivered by the seller of the contract to the exchange, and by the exchange to the buyers of the contract. Physical delivery is common with commodities and bonds. In practice, it occurs only on a minority of contracts. Most are canceled out by purchasing a covering position—that is, buying a contract to cancel out an earlier sale (covering a short), or selling a contract to liquidate an earlier purchase (covering a long). The majority of energy contracts on the 153: 1500:

rolling over positions to the next contract or, in the case of equity index futures, purchasing underlying components of those indexes to hedge against current index positions. On the expiry date, a European equity arbitrage trading desk in London or Frankfurt will see positions expire in as many as eight major markets almost every half an hour. Exchanges implement strict limits on how much exposure an entity may have closer to expiration as an effort to avoid any volatility around final settlement.

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immediate delivery (also called spot or cash market) or for forward delivery. These forward contracts were private contracts between buyers and sellers and became the forerunner to today's exchange-traded futures contracts. Although contract trading began with traditional commodities such as grains, meat, and livestock, exchange trading has expanded to include metals, energy, currency and currency indexes, equities and equity indexes, government interest rates, and private interest rates.

1409:, representing the amount of their trading capital that is being held as margin at any particular time. The low margin requirements of futures results in substantial leverage of the investment. However, the exchanges require a minimum amount that varies depending on the contract and the trader. The broker may set the requirement higher, but may not set it lower. A trader, of course, can set it above that, if he does not want to be subject to margin calls. 1025: 36: 5103: 1013: 1460:. The parties settle by paying/receiving the loss/gain related to the contract in cash when the contract expires. Cash settled futures are those that, as a practical matter, could not be settled by delivery of the referenced item—for example, it would be impossible to deliver an index. A futures contract might also opt to settle against an index based on trade in a related spot market. 3187:

means that the "mark-to-market" calculation would require the holder of one side of the futures to pay $ 2 (0h 10m) (0h 10m) on day 51 to track the changes of the forward price ("post $ 2 (0h 10m) (0h 10m) of margin"). This money goes, via margin accounts, to the holder of the other side of the future. That is the loss party wires cash to the other party.

1422:(ROM) is often used to judge performance because it represents the gain or loss compared to the exchange's perceived risk as reflected in the required margin. ROM may be calculated (realized return) / (initial margin). The Annualized ROM is equal to (ROM+1)-1. For example, if a trader earns 10% on margin in two months, that would be about 77% annualized. 1309: 1283:. Margins, sometimes set as a percentage of the value of the futures contract, must be maintained throughout the life of the contract to guarantee the agreement, as over this time the price of the contract can vary as a function of supply and demand, causing one side of the exchange to lose money at the expense of the other. 1286:

To mitigate the risk of default, the product is marked to market on a daily basis where the difference between the initial agreed-upon price and the actual daily futures price is re-evaluated daily. This is sometimes known as the variation margin, where the futures exchange will draw money out of the

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Investment fund managers at the portfolio and the fund sponsor level can use financial asset futures to manage portfolio interest rate risk, or duration, without making cash purchases or sales using bond futures. Invest firms that receive capital calls or capital inflows in a different currency than

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use this method of settlement upon expiration. The vast majority of contracts do not end up settling for physical delivery; holders will either close out the position by reversing their exposure, or, for some physical traders, settle via an EFP (Exchange For Physical) arrangement with a counterparty

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The original use of futures contracts mitigates the risk of price or exchange rate movements by allowing parties to fix prices or rates in advance for future transactions. This could be advantageous when (for example) a party expects to receive payment in foreign currency in the future and wishes to

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A forward-holder, however, may pay nothing until settlement on the final day, potentially building up a large balance; this may be reflected in the mark by an allowance for credit risk. So, except for tiny effects of convexity bias (due to earning or paying interest on margin), futures and forwards

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Consider a futures contract with a $ 100 (8h 21m) (8h 21m) price: Let's say that on day 50, a futures contract with a $ 100 (8h 21m) (8h 21m) delivery price (on the same underlying asset as the future) costs $ 88 (7h 20m) (7h 20m). On day 51, that futures contract costs $ 90 (7h 30m) (7h 30m). This

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Again, this differs from futures which get 'trued-up' typically daily by a comparison of the market value of the futures to the collateral securing the contract to keep it in line with the brokerage margin requirements. This true-ing up occurs by the "loss" party providing additional collateral; so

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in the U.S.) is the time and the day that a particular delivery month of a futures contract stops trading, as well as the final settlement price for that contract. For many equity index futures and interest rate futures as well as for most equity (index) options, this happens on the third Friday of

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is the equity required to initiate a futures position. This is a type of performance bond. The maximum exposure is not limited to the amount of the initial margin, however, the initial margin requirement is calculated based on the maximum estimated change in contract value within a trading day. The

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The margining of futures eliminates much of this credit risk by forcing the holders to update daily to the price of an equivalent forward purchased that day. This means that there will usually be very little additional money due on the final day to settle the futures contract: only the final day's

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In a forward though, the spread in exchange rates is not trued up regularly but, rather, it builds up as unrealized gain (loss) depending on which side of the trade being discussed. This means that entire unrealized gain (loss) becomes realized at the time of delivery (or as what typically occurs,

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of market participants for each market segment that has more than 20 participants. These reports are released every Friday (including data from the previous Tuesday) and contain data on open interest split by reportable and non-reportable open interest as well as commercial and non-commercial open

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Investors can either take on the role of option seller (or "writer") or the option buyer. Option sellers are generally seen as taking on more risk because they are contractually obligated to take the opposite futures position if the buyer of the option exercises their right to the futures position

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began in Japan in the 18th century with the trading of rice and silk, and similarly in Holland with tulip bulbs. Trading in the US began in the mid 19th century when central grain markets were established and a marketplace was created for farmers to bring their commodities and sell them either for

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cash price and the futures prices sometimes struggle to converge. At this moment the futures and the underlying assets are extremely liquid and any disparity between an index and an underlying asset is quickly traded by arbitrageurs. At this moment also, the increase in volume is caused by traders

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In case of loss or if the value of the initial margin is being eroded, the broker will make a margin call in order to restore the amount of initial margin available. Often referred to as "variation margin", margin called, for this reason, is usually done on a daily basis, however, in times of high

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position holder. As both parties risk their counter-party reneging if the price goes against them, the contract may involve both parties lodging as security a margin of the value of the contract with a mutually trusted third party. For example, in gold futures trading, the margin varies between 2%

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Forwards do not have a standard. More typical would be for the parties to agree to true up, for example, every quarter. The fact that forwards are not margined daily means that, due to movements in the price of the underlying asset, a large differential can build up between the forward's delivery

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often "equitizes" unintended cash holdings or cash inflows in an easy and cost-effective manner by investing in (opening long) S&P 500 stock index futures. This gains the portfolio exposure to the index which is consistent with the fund or account investment objective without having to buy an

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in that a trader who predicts that the price of an asset will move in a particular direction can contract to buy or sell it in the future at a price which (if the prediction is correct) will yield a profit. In particular, if the speculator is able to profit, then the underlying commodity that the

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In a perfect market, the relationship between futures and spot prices depends only on the above variables; in practice, there are various market imperfections (transaction costs, differential borrowing, and lending rates, restrictions on short selling) that prevent complete arbitrage. Thus, the

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Forwards have credit risk, but futures do not because a clearing house guarantees against default risk by taking both sides of the trade and marking to market their positions every night. Forwards are basically unregulated, while futures contracts are regulated at the central government level.

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often sell futures contracts for the crops and livestock they produce to guarantee a certain price, making it easier for them to plan. Similarly, livestock producers often purchase futures to cover their feed costs, so that they can plan on a fixed cost for feed. In modern (financial) markets,

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Those that buy or sell commodity futures need to be careful. If a company buys contracts hedging against price increases, but in fact, the market price of the commodity is substantially lower at the time of delivery, they could find themselves disastrously non-competitive (for example see:

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contract related to the asset "on paper", while they have no practical use for or intent to actually take or make delivery of the underlying asset. In other words, speculators are seeking exposure to the asset in long futures contracts or the opposite effect via short futures contracts.

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are financial safeguards to ensure that companies or corporations perform on their customers' open futures and options contracts. Clearing margins are distinct from customer margins that individual buyers and sellers of futures and options contracts are required to deposit with brokers.

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Margin calls are usually expected to be paid and received on the same day. If not, the broker has the right to close sufficient positions to meet the amount called by way of margin. After the position is closed out the client is liable for any resulting deficit in the client's account.

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for forwards, but not so much for futures. Simply put, the risk of a forward contract is that the supplier will be unable to deliver the referenced asset, or that the buyer will be unable to pay for it on the delivery date or the date at which the opening party closes the contract.

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Although futures contracts are oriented towards a future time point, their main purpose is to mitigate the risk of default by either party in the intervening period. In this vein, the futures exchange requires both parties to put up initial cash, or a performance bond, known as the

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The amount of money deposited by both a buyer and seller of a futures contract or an options seller to ensure the performance of the term of the contract. Margin in commodities is not a payment of equity or down payment on the commodity itself, but rather it is a security deposit.

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losing party's margin account and put it into that of the other party, ensuring the correct loss or profit is reflected daily. If the margin account goes below a certain value set by the exchange, then a margin call is made and the account owner must replenish the margin account.

2751:), though many hybrid types and unique styles exist. With many investors pouring into the futures markets in recent years controversy has risen about whether speculators are responsible for increased volatility in commodities like oil, and experts are divided on the matter. 2771:

in the performance of the fund/account. When it is economically feasible (an efficient amount of shares of every individual position within the fund or account can be purchased), the portfolio manager can close the contract and make purchases of each individual stock.

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with equal delivery prices result in the same total loss or gain, but holders of futures experience that loss/gain in daily increments which track the forward's daily price changes, while the forward's spot price converges to the settlement price. Thus, while under

2147:. Markets are said to be normal when futures prices are above the current spot price and far-dated futures are priced above near-dated futures. The reverse, where the price of a commodity for future delivery is lower than the expected spot price is known as 2256:(CME) and these instruments became hugely successful and quickly overtook commodities futures in terms of trading volume and global accessibility to the markets. This innovation led to the introduction of many new futures exchanges worldwide, such as the 1385:

Some U.S. exchanges also use the term "maintenance margin", which in effect defines how much the value of the initial margin can reduce before a margin call is made. However, most non-US brokers only use the term "initial margin" and "variation margin".

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A variety of trades have developed that involve an exchange of a futures contract for either a over-the-counter, physical commodity, or cash asset position that meets certain criteria such as scale and correspondence to the underlying commodity risk.

3011:. A forward is like a futures in that it specifies the exchange of goods for a specified price at a specified future date. However, a forward is not traded on an exchange and thus does not have the interim partial payments due to marking to market. 3202:

With an exchange-traded future, the clearing-house interposes itself on every trade. Thus there is no risk of counterparty default. The only risk is that the clearing house defaults (e.g. become bankrupt), which is considered very unlikely.

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A futures account is marked to market daily. If the margin drops below the margin maintenance requirement established by the exchange listing the futures, a margin call will be issued to bring the account back up to the required level.

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Where as futures often matures on a quarterly or monthly basis, their options expires more frequent (i.e. daily). Examples are options on futures with the underlying in gold (XAU), index (Nasdaq, S&P 500) or commodities (oil,

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When the deliverable commodity is not in plentiful supply (or when it does not yet exist) rational pricing cannot be applied, as the arbitrage mechanism is not applicable. Here the price of the futures is determined by today's

3936: 1328:. The clearing house becomes the buyer to each seller, and the seller to each buyer, so that in the event of a counterparty default the clearer assumes the risk of loss. This enables traders to transact without performing 1533:

futures (in which the supposed underlying instrument is to be created upon the delivery date)—the futures price cannot be fixed by arbitrage. In this scenario, there is only one force setting the price, which is simple

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specified in the option. The price of an option is determined by supply and demand principles and consists of the option premium, or the price paid to the option seller for offering the option and taking on risk.

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when they are in supply (e.g. agricultural crops after the harvest). However, when the deliverable commodity is not in plentiful supply or when it does not yet exist—for example on crops before the harvest or on

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appropriate proportion of each of the individual 500 stocks just yet. This also preserves balanced diversification, maintains a higher degree of the percent of assets invested in the market and helps reduce

2115:), the market clearing price for the futures may still represent the balance between supply and demand but the relationship between this price and the expected future price of the asset can break down. 2106: 2111:

By contrast, in a shallow and illiquid market, or in a market in which large quantities of the deliverable asset have been deliberately withheld from market participants (an illegal action known as

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if the buyer of the contract incurs a drop in value, the shortfall or variation margin would typically be shored up by the investor wiring or depositing additional cash in the brokerage account.

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speculator traded would have been saved during a time of surplus and sold during a time of need, offering the consumers of the commodity a more favorable distribution of commodity over time.

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Most futures contract codes are five characters. The first two characters identify the contract type, the third character identifies the month and the last two characters identify the year.

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There are many different kinds of futures contracts, reflecting the many different kinds of "tradable" assets about which the contract may be based such as commodities, securities (such as

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Within the futures industry, financial guarantees required of both buyers and sellers of futures contracts and sellers of options contracts to ensure fulfillment of contract obligations.

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the commission regulates all transactions, each exchange can have its own rule, and under contract can fine companies for different things or extend the fine that the CFTC hands out.

2821:. For options on futures, where the premium is not due until unwound, the positions are commonly referred to as a fution, as they act like options, however, they settle like futures. 1756: 1389:

The Initial Margin requirement is established by the Futures exchange, in contrast to other securities' Initial Margin (which is set by the Federal Reserve in the U.S. Markets).

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with respect to the risk-neutral probability. With this pricing rule, a speculator is expected to break even when the futures market fairly prices the deliverable commodity.

5669: 2275:(CBOT and CME) – Currencies, Various Interest Rate derivatives (including US Bonds); Agriculture (Corn, Soybeans, Soy Products, Wheat, Pork, Cattle, Butter, Milk); Indices ( 1364:

are responsible for overseeing customer margin accounts. Margins are determined on the basis of market risk and contract value. Also referred to as performance bond margin.

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markets, third (month) futures contract codes are: Contracts expire after the listing month. Therefore traders must roll over their positions into the next month code.

1550:") apply when the deliverable asset exists in plentiful supply or may be freely created. Here, the forward price represents the expected future value of the underlying 3104:

In the case of physical delivery, the forward contract specifies to whom to make the delivery. The counterparty for delivery on a futures contract is chosen by the

1149:. Stock futures are one of the high risk trading instruments in the market. Stock market index futures are also used as indicators to determine market sentiment. 3158:

the time the contract is closed prior to expiration)—assuming the parties must transact at the underlying currency's spot price to facilitate receipt/delivery.

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over the holding period; for a futures this gain or loss is realized daily, while for a forward contract the gain or loss remains unrealized until expiry.

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In addition, the daily futures-settlement failure risk is borne by an exchange, rather than an individual party, further limiting credit risk in futures.

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The first futures contracts were negotiated for agricultural commodities, and later futures contracts were negotiated for natural resources such as oil.

1219:(CBOT) listed the first-ever standardized 'exchange traded' forward contracts in 1864, which were called futures contracts. This contract was based on 1495:

contracts, at the expiration of the December contract, the March futures become the nearest contract. During a short period (perhaps 30 minutes) the

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to buy or sell something at a predetermined price for delivery at a specified time in the future, between parties not yet known to each other. The

943: 4020:"CFTC Orders INTL FCStone Financial Inc. and FCStone Merchant Services LLC to Pay Penalty for Unlawful Exchange for Related Position Transactions" 2385:(pronounced 'LIFE') was merged. (LIFFE had taken over London Commodities Exchange ("LCE") in 1996)- softs: grains and meats. Inactive market in 3627:

Fama, Eugene F.; French, Kenneth R. (1987). "Commodity Futures Prices: Some Evidence on Forecast Power, Premiums, and the Theory of Storage".

3392: 972: 2678:. Hedgers have an interest in the underlying asset (which could include an intangible such as an index or interest rate) and are seeking to 4646: 4221: 3801:

https://www.bloomberg.com/news/2011-06-05/commodity-bubbles-caused-by-speculators-need-intervention-un-agency-says.html%7Ctitle=Commodity

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When the deliverable asset exists in plentiful supply or may be freely created, then the price of a futures contract is determined via

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In an efficient market, supply and demand would be expected to balance out at a futures price that represents the present value of an

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If a position involves an exchange-traded product, the amount or percentage of the initial margin is set by the exchange concerned.

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is the specified futures price at which the futures is traded if the option is exercised. Futures are often used since they are

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are known, as the extraneous yield paid by investors selling at spot to arbitrage the futures price. Dividend or income yields

100: 3924: 3582: 72: 3293: 2846: 2168:), currencies or intangibles such as interest rates and indexes. For information on futures markets in specific underlying 1227:

as well as a number of futures exchanges set up in countries around the world. By 1875 cotton futures were being traded in

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The expectation-based relationship will also hold in a no-arbitrage setting when we take expectations with respect to the

5140: 4808: 3085:(FIA) estimates that 6.97 billion futures contracts were traded in 2007, an increase of nearly 32% over the 2006 figure. 3018:

are both contracts to deliver an asset on a future date at a prearranged price, they are different in two main respects:

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instruments. Calls and options on futures may be priced similarly to those on traded assets by using an extension of the

2346: 724: 79: 4177: 4045:"CFTC Orders Morgan Stanley & Co. LLC to Pay $ 5 Million Civil Monetary Penalty for Unlawful Noncompetitive Trades" 3547: 2211: 883: 4544: 4151: 4132: 4113: 4086: 3615: 3097:, whereas forwards always trade over-the-counter, or can simply be a signed contract between two parties. Therefore: 1587: 119: 53: 17: 2682:

the risk of price changes. Speculators, by contrast, seek to make a profit by predicting market moves and opening a

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whose investment objective is to track the performance of a stock index such as the S&P 500 stock index. The

2128: 3490:(September 1989). "Forwards and futures in Tokugawa-period Japan: A new perspective on the Dōjima rice market". 1561:

Thus, assuming constant rates, for a simple, non-dividend paying asset, the value of the futures/forward price,

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Futures are highly standardized, being exchange-traded, whereas forwards can be unique, being over-the-counter.

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Bubbles Caused by Speculators Need Intervention, UN Agency Says|date= June 5, 2011| Access-date= July 2, 2011

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A set minimum margin per outstanding futures contract that a customer must maintain in their margin account.

1247: 1048: 1017: 261: 68: 1308: 3707: 3314: 3298: 3082: 2596: 2288: 2276: 2268:(TOCOM). Today, there are more than 90 futures and futures options exchanges worldwide trading to include: 1361: 2833:). The stock exchanges and their clearing houses provide overviews of these products (CME, COMEX, NYMEX). 2699:

of a commodity or the owner of an asset or assets subject to certain influences such as an interest rate.

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Derivatives: A Comprehensive Resource for Options, Futures, Interest Rate Swaps, and Mortgage Securities

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their base currency could use currency futures to hedge the currency risk of that inflow in the future.

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holding the opposite position. Some Treasuries contracts on the CBOT also settle via physical delivery.

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The following definition from Björk describes a futures contract with delivery of item J at time T:

5757: 5689: 5674: 5041: 5036: 3222: 3105: 2930: 2514:) also known in French as Bourse De Montreal: Interest Rate and Cash Derivatives: Canadian 90 Days 2437: 2431: 2416: 2265: 2124: 1325: 1119:, which act as a marketplace between buyers and sellers. The buyer of a contract is said to be the 1041: 577: 1180:

guard against an unfavorable movement of the currency in the interval before payment is received.

5133: 4991: 4691: 4661: 4636: 4519: 4360: 4292: 3735: 3308: 3272: 2560:– National Stock Exchange, India – the largest derivates exchange in terms of number of contracts 2426: 2320: 2184: 1555: 1232: 220: 210: 46: 2719:

products will use financial futures or equity index futures to reduce or remove the risk on the

1197: 5752: 5684: 5638: 4788: 4773: 4738: 4681: 3242: 3217: 2870: 2515: 1676: 1492: 1216: 1108:. Because it derives its value from the value of the underlying asset, a futures contract is a 379: 290: 4005: 3902: 1290:

On the delivery date, the amount exchanged is not the specified price on the contract but the

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The situation where the price of a commodity for future delivery is higher than the expected

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the contract, and can be done in one of two ways, as specified per type of futures contract:

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The situation for forwards, however, where no daily true-up takes place, in turn, creates

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price and the settlement price, and in any event, an unrealized gain (loss) can build up.

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of the price of the asset at the delivery date. This relationship can be represented as::

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who—being paid in rice—needed a stable conversion to coin after a series of bad harvests.

8: 5455: 4960: 4748: 4671: 4494: 3535: 3347:"Understanding Derivatives: Markets and Infrastructure – Federal Reserve Bank of Chicago" 3227: 3140:

of a forward with the same agreed-upon delivery price and the underlying asset (based on

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for the asset in the future, as expressed by supply and demand for the futures contract.

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futures price in fact varies within arbitrage boundaries around the theoretical price.

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The Futures: The Rise of the Speculator and the Origins of the World's Biggest Markets

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The social utility of futures markets is considered to be mainly in the transfer of

2412: 1431: 5612: 5602: 5386: 4897: 4831: 4813: 4743: 4509: 4504: 4476: 4428: 4307: 4247: 3636: 3551: 3499: 3429: 3127: 3094: 3024: 3015: 3008: 2793: 2703: 2576: 2363:, heating oil, gas oil (diesel), refined petroleum products, electric power, coal, 2280: 2224: 2177: 1547: 1321: 1303: 1294:, since any gain or loss has already been previously settled by marking to market. 1205: 1116: 1104:. The specified time in the future when delivery and payment occur is known as the 965: 758: 732: 650: 643: 626: 572: 546: 433: 415: 320: 311: 215: 200: 162: 136: 5118: 5659: 5654: 5511: 5153: 5107: 5077: 5072: 5026: 4862: 4857: 4803: 4713: 4621: 4594: 4534: 4529: 4499: 4448: 4433: 4350: 4330: 2780: 2671: 2519: 2386: 2188: 1336: 1255: 1223:

trading, and started a trend that saw contracts created on a number of different

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and other punishments on individuals or companies that break rules. Although by

2440:– TFX – (Euroyen Futures, OverNight CallRate Futures, SpotNext RepoRate Futures) 1889:

are more easily observed or estimated, and can be incorporated in the same way:

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Financial Derivatives: An Introduction to Futures, Forwards, Options and Swaps

2172:, follow the links. For a list of tradable commodities futures contracts, see 5741: 5326: 5311: 5062: 5031: 4872: 4798: 4758: 4753: 4589: 4461: 4408: 4403: 4385: 4282: 4262: 3441: 3212: 2865: 2842: 2748: 2523: 2370: 2148: 1344: 1329: 1173: 922: 878: 654: 616: 596: 481: 442: 195: 4096: 3417: 2889:, which is known as the futures price at time t for delivery of J at time T. 1172:

have played an increasingly large role in the overall futures markets. Even

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Inter-Ministerial task force (chaired by Wajahat Habibullah) (May 2003).

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Contracts on financial instruments were introduced in the 1970s by the

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Example: CLX14 is a Crude Oil (CL), November (X) 2014 (14) contract.

2618: 2563:

EverMarkets Exchange (EMX) – slated for launch in late 2018 – global

2511: 2457: 2402: 2360: 2292: 2272: 2240: 1509: 1340: 1224: 1089: 977: 938: 621: 410: 405: 3464:"Futures Contract Definition: Types, Mechanics, and Uses in Trading" 3393:"Stock futures trade lower ahead of jobless claims, retail earnings" 2797:

are traded on futures, sometimes called simply "futures options". A

2743:

Speculators typically fall into three categories: position traders,

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gain or loss, not the gain or loss over the life of the contract.

2779:, and increased liquidity between traders with different risk and 2754:

An example that has both hedge and speculative notions involves a

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in India and within a few years this had expanded to futures on

1176:

have been proposed to increase the supply of transplant organs.

1145:

is a cash-settled futures contract on the value of a particular

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Futures traders are traditionally placed in one of two groups:

2593:(SHFE) – primarily serves metal and foodstuff commodity markets 2491: 2487: 2482:(ICE Futures U.S.) – formerly New York Board of Trade – softs: 2469: 2453: 2398: 2328: 1873:

The convenience yield is not easily observable or measured, so

1254:

was the world's first financial futures exchange, and launched

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is the option to buy a futures contract. For both, the option

5704: 5541: 5393: 5356: 5351: 5276: 5266: 4146:(3rd ed.). Basingstoke, Hampshire, UK: Macmillan Press. 3371:"The Gold Futures Market | Guide & Information from" 2551: 2545: 2499: 2446:

OSE (JGB Futures, TOPIX Futures, Nikkei Futures, RNP Futures)

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The CFTC publishes weekly reports containing details of the

1335:

Margin requirements are waived or reduced in some cases for

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London International Financial Futures and Options Exchange

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The price of entering a futures contract is equal to zero.

2599:(ZCE) – primarily agricultural products and petrochemicals 1096:. The predetermined price of the contract is known as the 5546: 5271: 5246: 5211: 2858: 2830: 2473: 2260:

in 1982 (now Euronext. liffe), Deutsche Terminbörse (now

2101:{\displaystyle F(t)=E_{t}\left\{S(T)\right\}e^{(r)(T-t)}} 753: 4196:

Federal Reserve Bank of Chicago, Financial Markets Group

3544:"Convergence of Securities and Commodity Markets report" 3278: 2119:

Relationship between arbitrage arguments and expectation

1243:. In the 1930s two thirds of all futures was in wheat. 1183:

However, futures contracts also offer opportunities for

1123:

position holder and the selling party is said to be the

3937:"Understanding Derivatives: Markets and Infrastructure" 3510: 3165:

than futures, and that funding is charged differently.

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FEX Global – Financial and Energy Exchange of Australia

1378:

volatility, a broker can make a margin call intra-day.

2587:(DCE) – primarily agricultural and industrial products 1347:

who have offsetting contracts balancing the position.

4194:

Understanding Derivatives: Markets and Infrastructure

3577:. Illinois: University of Chicago Press. p. 71. 2933: 2901: 2869:

interest. This type of report is referred to as the '

2019: 1898: 1782: 1688: 1590: 4103: 2554:– National Commodity and Derivatives Exchange, India 2135:

Contango, backwardation, normal and inverted markets

1761:

This relationship may be modified for storage costs

5148: 2876: 60:. Unsourced material may be challenged and removed. 4106:Dynamic Asset Allocation with Forwards and Futures 4074: 2975: 2919: 2851:independent agency of the United States government 2154: 2100: 1978: 1862: 1750: 1663: 2983:. (this reflects instantaneous marking to market) 1565:, will be found by compounding the present value 1452:− a cash payment is made based on the underlying 1426:Settlement − physical versus cash-settled futures 5739: 3959:: CS1 maint: bot: original URL status unknown ( 3919:, Cambridge University Press, 2nd Edition, 2004 3341: 3339: 3112: 2801:is the option to sell a futures contract, and a 2605:(CFFEX) – primarily index futures and currencies 1156:were introduced in 1972, and in recent decades, 2836: 2258:London International Financial Futures Exchange 1664:{\displaystyle F(t,T)=S(t)\times (1+r)^{(T-t)}} 2783:, from a hedger to a speculator, for example. 2526:Index Futures, and various other Index Futures 5134: 4215: 4167: 3976:"Understanding EFRP Transactions – CME Group" 3635:(1). The University of Chicago Press: 55–73. 3418:"Efficiency and the futures market in organs" 3336: 3195:accounting, for both assets the gain or loss 1979:{\displaystyle F(t,T)=S(t)e^{(r+u-q)(T-t)}\,} 1863:{\displaystyle F(t,T)=S(t)e^{(r+u-y)(T-t)}\,} 1049: 4144:An Introduction to Global Financial Markets 1339:who have physical ownership of the covered 934:International Financial Reporting Standards 899:Separation of investment and retail banking 5141: 5127: 4222: 4208: 3942:. Archived from the original on 2014-07-20 3666:(9th ed.). Pearson. pp. 122–123. 3626: 3591: 3002: 2885:There exists in the market a quoted price 2665: 1993: 1056: 1042: 3815:"Swaps, Forwards, and Futures Strategies" 3780:"Swaps, Forwards, and Futures Strategies" 3758:"Swaps, Forwards, and Futures Strategies" 3415: 2853:. The commission has the right to impose 2540:Singapore International Monetary Exchange 1975: 1859: 1747: 1320:to traders, trades executed on regulated 1168:, and cryptocurrency inverse futures and 120:Learn how and when to remove this message 4104:Lioui, Abraham; Poncet, Patrice (2005). 3812: 3777: 3755: 3161:The result is that forwards have higher 2998:should be the spot price of J at time T. 2994:and is entitled to receive J. Note that 2695:Hedgers typically include producers and 2003:for the underlying asset in the future. 1487:futures contract. For example, for most 1479:certain trading months. On this day the 1204:, is considered by some to be the first 5047:Power reverse dual-currency note (PRDC) 4987:Constant proportion portfolio insurance 4122: 4072: 3799:{{web site|author=Dreibus, Tony C.|url= 3694:Options, Futures, and Other Derivatives 3679:Options, Futures, and Other Derivatives 3664:Options, Futures, and Other Derivatives 3486: 2349:, Dubai Platts, and Singapore Fuel Oil. 2127:. In other words: a futures price is a 1751:{\displaystyle F(t,T)=S(t)e^{r(T-t)}\,} 1371:initial margin is set by the exchange. 14: 5740: 4229: 4141: 3390: 3365: 3363: 3088: 2548:– Rosario (Argentina) Futures Exchange 2422:South African Futures Exchange – SAFEX 1541: 1467:futures use this method of settlement. 5122: 4203: 3973: 3870: 3834: 3696:(9th ed.). Pearson. p. 125. 3681:(9th ed.). Pearson. p. 112. 3572: 3279:U.S. Futures exchanges and regulators 3065:Thus futures have significantly less 2786: 4982:Collateralized debt obligation (CDO) 3840:"CME Options on Futures: The Basics" 3691: 3676: 3661: 3416:Albertsen, Andreas (December 2023). 3294:Commodity Futures Trading Commission 2847:Commodity Futures Trading Commission 2355:(ICE Futures Europe) – formerly the 58:adding citations to reliable sources 29: 3917:Arbitrage theory in continuous time 3828: 3360: 3126:Further information on Margin: 24: 4161: 3599:"Leo Melamed – Biographical Notes" 3548:Forward Markets Commission (India) 1307: 1273: 973:Private equity and venture capital 884:Bank for International Settlements 25: 5769: 4187: 2927:, the holder receives the amount 2291:(CME Group) – energy and metals: 2287:, etc.); Metals (Gold, Silver). 1018:Business and Economics portal 5101: 3492:Journal of Banking & Finance 3093:Futures are always traded on an 3007:A closely related contract is a 2877:Definition of a futures contract 2841:All futures transactions in the 2603:China Financial Futures Exchange 2558:National Stock Exchange of India 2389:shipping. Index futures include 2357:International Petroleum Exchange 1577:by the rate of risk-free return 1023: 1011: 606:Base erosion and profit shifting 151: 34: 4037: 4012: 3967: 3929: 3909: 3864: 3806: 3793: 3771: 3749: 3728: 3700: 3685: 3670: 3655: 3620: 3609: 2873:', COT-Report, or simply COTR. 2155:Futures contracts and exchanges 1522:futures on physical commodities 1512:arguments. This is typical for 1200:, first established in 1697 in 45:needs additional citations for 4809:Year-on-year inflation-indexed 3566: 3480: 3456: 3409: 3384: 2970: 2958: 2949: 2937: 2914: 2902: 2738: 2417:European Energy Exchange (EEX) 2093: 2081: 2078: 2072: 2059: 2053: 2029: 2023: 1970: 1958: 1955: 1937: 1929: 1923: 1914: 1902: 1854: 1842: 1839: 1821: 1813: 1807: 1798: 1786: 1742: 1730: 1719: 1713: 1704: 1692: 1656: 1644: 1640: 1627: 1621: 1615: 1606: 1594: 366:Collateralised debt obligation 276:Bull (stock market speculator) 13: 1: 5618:List of commodities exchanges 4819:Zero-coupon inflation-indexed 4066: 3760:. CFA Institute. pp. 7–8 3113:Exchange for Related Position 3071:, and have different funding. 2976:{\displaystyle F(s,T)-F(t,T)} 2871:Commitments of Traders Report 1483:futures contract becomes the 1248:International Monetary Market 1208:market, to meet the needs of 712:Final consumption expenditure 27:Standardised forward contract 4887: 3616:Cash settlement on Wikinvest 3504:10.1016/0378-4266(89)90028-9 3315:New York Mercantile Exchange 3299:National Futures Association 3121: 3083:Futures Industry Association 3028:, while forwards are traded 2837:Futures contract regulations 2702:For example, in traditional 2597:Zhengzhou Commodity Exchange 2504:JFX Jakarta Futures Exchange 2277:Dow Jones Industrial Average 2247: 1765:, dividend or income yields 1362:Futures Commission Merchants 7: 5680:Commodity status of animals 5670:Commodification of the womb 5022:Foreign exchange derivative 4414:Callable bull/bear contract 3817:. CFA Institute. p. 23 3782:. CFA Institute. p. 17 3285:Chicago Mercantile Exchange 3206: 3133: 3059: 2254:Chicago Mercantile Exchange 2159: 1280: 1252:Chicago Mercantile Exchange 10: 5774: 5727:List of traded commodities 3813:Valbuzzi, Barbara (2019). 3778:Valbuzzi, Barbara (2019). 3756:Valbuzzi, Barbara (2019). 3518:"timeline-of-achievements" 3434:10.1007/s40592-023-00180-0 3391:Martin, Ken (2020-11-19). 3324:Minneapolis Grain Exchange 3304:Kansas City Board of Trade 3233:Fuel price risk management 3125: 3062:, while forwards are not. 2760:separately managed account 2690: 2538:– SGX – into which merged 2174:List of traded commodities 1877:is often calculated, when 1503: 1301: 1268:stock market index futures 1166:stock market index futures 1080:) is a standardized legal 944:Professional certification 542:Enterprise risk management 326:Offshore financial centres 5722: 5665:Commodification of nature 5647: 5631: 5623:List of futures exchanges 5595: 5560: 5499: 5443: 5436: 5285: 5169: 5160: 5096: 5055: 4974: 4931: 4923:Stock market index future 4827: 4704: 4612: 4475: 4384: 4321: 4255: 4246: 4237: 4127:. London: Prentice-Hall. 4073:Arditti, Fred D. (1996). 3974:Group, CME (2021-02-26). 3871:Group, CME (2022-04-25). 2895:During any time interval 2591:Shanghai Futures Exchange 2585:Dalian Commodity Exchange 2480:Intercontinental Exchange 2353:Intercontinental Exchange 2343:Dubai Mercantile Exchange 2216:Stock market index future 1769:, and convenience yields 1430:Settlement is the act of 1297: 1266:, and in 1982 they added 1258:. In 1976, the IMM added 1246:The 1972 creation of the 1191: 1128:and 20% depending on the 889:Financial Stability Board 5690:Heritage commodification 5675:Commodification of water 5042:Mortgage-backed security 5037:Interest rate derivative 5012:Equity-linked note (ELN) 4997:Credit-linked note (CLN) 3329: 3223:Contract for future sale 3049:and face a non-exchange 2609: 2438:Tokyo Financial Exchange 2432:Tokyo Commodity Exchange 2359:trades energy including 2266:Tokyo Commodity Exchange 2125:risk-neutral probability 1115:Contracts are traded at 1088:transacted is usually a 578:Mergers and acquisitions 4992:Contract for difference 4293:Risk-free interest rate 4142:Valdez, Steven (2000). 4123:Redhead, Keith (1997). 3629:The Journal of Business 3575:Diet for a large planet 3422:Monash Bioethics Review 3309:New York Board of Trade 3273:Seasonal spread trading 3003:Futures versus forwards 2666:Futures contracts users 2427:Sydney Futures Exchange 2185:Foreign exchange market 1994:Pricing via expectation 1413:Performance bond margin 1332:on their counterparty. 1233:edible oilseeds complex 5685:Fictitious commodities 5639:Commodity Exchange Act 4774:Forward Rate Agreement 4168:Emily Lambert (2010). 4108:. New York: Springer. 3692:Hull, John C. (2015). 3677:Hull, John C. (2015). 3662:Hull, John C. (2015). 3243:List of finance topics 3218:Commodity Exchange Act 2977: 2921: 2102: 1980: 1864: 1752: 1677:continuous compounding 1665: 1546:Arbitrage arguments (" 1313: 1217:Chicago Board of Trade 380:certificate of deposit 5748:Derivatives (finance) 5002:Credit default option 4346:Employee stock option 3573:Otter, Chris (2020). 3248:London Metal Exchange 3045:, while forwards are 2978: 2922: 2845:are regulated by the 2815:Black-Scholes formula 2747:, and swing traders ( 2450:London Metal Exchange 2345:(DME) – most notably 2103: 1981: 1865: 1753: 1666: 1518:treasury bond futures 1312:Changes in US futures 1311: 1260:interest rate futures 1162:interest rate futures 331:Conduit and sink OFCs 4956:Inflation derivative 4941:Commodity derivative 4913:Single-stock futures 4903:Normal backwardation 4893:Interest rate future 4734:Conditional variance 4240:Derivative (finance) 2931: 2899: 2220:Single-stock futures 2207:Interest rate future 2198:Interest rate future 2166:single-stock futures 2113:cornering the market 2017: 2008:unbiased expectation 1896: 1780: 1686: 1588: 1324:are guaranteed by a 1198:Dōjima Rice Exchange 1094:financial instrument 557:Financial statements 537:Credit rating agency 462:Repurchase agreement 54:improve this article 5456:Compressed hydrogen 5207:Frozen orange juice 5108:Business portal 4961:Property derivative 3852:on October 27, 2011 3554:on January 12, 2010 3228:Freight derivatives 3136:daily to the daily 3089:Exchange versus OTC 2713:interest rate swaps 2516:Bankers' Acceptance 2510:(MX) (owned by the 1542:Arbitrage arguments 1514:stock index futures 1403:Margin-equity ratio 1239:and jute goods and 993:Accounting scandals 983:Stock market bubble 703:Government spending 660:Employment contract 612:Corporate tax haven 371:Credit default swap 5387:Pork belly futures 4966:Weather derivative 4951:Freight derivative 4933:Exotic derivatives 4853:Commodities future 4540:Intermarket spread 4303:Synthetic position 4231:Derivatives market 4004:has generic name ( 3901:has generic name ( 3603:www.leomelamed.com 3428:(Suppl 1): 66–81. 3014:While futures and 2990:, the holder pays 2973: 2917: 2787:Options on futures 2536:Singapore Exchange 2518:Futures, Canadian 2098: 1976: 1860: 1748: 1661: 1531:Federal funds rate 1458:stock market index 1405:is a term used by 1397:Maintenance margin 1314: 1147:stock market index 1076:(sometimes called 988:Stock market crash 838:Investment banking 828:Fractional-reserve 793:Warrant of payment 742:Government revenue 665:Financial planning 583:Structured finance 69:"Futures contract" 5735: 5734: 5591: 5590: 5500:Industrial metals 5432: 5431: 5116: 5115: 5017:Equity derivative 5007:Credit derivative 4975:Other derivatives 4946:Energy derivative 4908:Perpetual futures 4789:Overnight indexed 4739:Constant maturity 4700: 4699: 4647:Finite difference 4580:Protective option 3925:978-0-19-927126-9 3584:978-0-226-69710-9 3268:Prediction market 3263:Perpetual futures 3258:Onion Futures Act 3253:Oil-storage trade 3238:Grain Futures Act 3037:Thus futures are 3016:forward contracts 2764:portfolio manager 2717:equity derivative 2704:commodity markets 2508:Montreal Exchange 2373:– which absorbed 2234:Perpetual futures 2170:commodity markets 2001:supply and demand 1536:supply and demand 1439:Physical delivery 1322:futures exchanges 1318:counterparty risk 1170:perpetual futures 1154:Financial futures 1117:futures exchanges 1066: 1065: 956: 955: 906: 905: 894:Deposit insurance 800: 799: 634: 633: 532:Corporate finance 527:Capital structure 522:Capital budgeting 457:Performance bonds 338: 337: 321:Financial centres 281:Financial planner 181:Asset (economics) 130: 129: 122: 104: 18:Commodity futures 16:(Redirected from 5765: 5613:Futures exchange 5608:Futures contract 5603:Commodity market 5441: 5440: 5437:Hard commodities 5167: 5166: 5162:Soft commodities 5143: 5136: 5129: 5120: 5119: 5106: 5105: 4878:Forwards pricing 4652:Garman–Kohlhagen 4253: 4252: 4224: 4217: 4210: 4201: 4200: 4183: 4157: 4138: 4119: 4100: 4080: 4060: 4059: 4057: 4056: 4041: 4035: 4034: 4032: 4031: 4016: 4010: 4009: 4003: 3999: 3997: 3989: 3987: 3986: 3971: 3965: 3964: 3958: 3950: 3948: 3947: 3941: 3933: 3927: 3913: 3907: 3906: 3900: 3896: 3894: 3886: 3884: 3883: 3868: 3862: 3861: 3859: 3857: 3851: 3845:. Archived from 3844: 3832: 3826: 3825: 3823: 3822: 3810: 3804: 3797: 3791: 3790: 3788: 3787: 3775: 3769: 3768: 3766: 3765: 3753: 3747: 3746: 3744: 3743: 3732: 3726: 3725: 3723: 3721: 3712: 3704: 3698: 3697: 3689: 3683: 3682: 3674: 3668: 3667: 3659: 3653: 3652: 3624: 3618: 3613: 3607: 3606: 3595: 3589: 3588: 3570: 3564: 3563: 3561: 3559: 3550:. Archived from 3539: 3533: 3532: 3530: 3528: 3514: 3508: 3507: 3498:(4–5): 487–513. 3484: 3478: 3477: 3475: 3474: 3460: 3454: 3453: 3413: 3407: 3406: 3404: 3403: 3388: 3382: 3381: 3379: 3378: 3367: 3358: 3357: 3355: 3354: 3349:. Chicagofed.org 3343: 3128:Margin (finance) 3031:over-the-counter 3009:forward contract 2982: 2980: 2979: 2974: 2926: 2924: 2923: 2920:{\displaystyle } 2918: 2781:time preferences 2577:cryptocurrencies 2281:NASDAQ Composite 2230:Cryptocurrencies 2225:Commodity market 2178:futures exchange 2107: 2105: 2104: 2099: 2097: 2096: 2066: 2062: 2044: 2043: 1985: 1983: 1982: 1977: 1974: 1973: 1869: 1867: 1866: 1861: 1858: 1857: 1757: 1755: 1754: 1749: 1746: 1745: 1670: 1668: 1667: 1662: 1660: 1659: 1548:rational pricing 1420:Return on margin 1304:Margin (finance) 1256:currency futures 1206:futures exchange 1158:currency futures 1074:futures contract 1058: 1051: 1044: 1030:Money portal 1028: 1027: 1026: 1016: 1015: 966:Economic history 928: 927: 861: 860: 759:Deficit spending 733:Transfer payment 699: 698: 627:Transfer pricing 573:Leveraged buyout 547:Enterprise value 501: 500: 416:Letter of credit 401:Futures contract 234: 232:Over-the-counter 221:Foreign exchange 168: 167: 155: 132: 131: 125: 118: 114: 111: 105: 103: 62: 38: 30: 21: 5773: 5772: 5768: 5767: 5766: 5764: 5763: 5762: 5758:Futures markets 5738: 5737: 5736: 5731: 5718: 5660:Commoditization 5655:Commodification 5643: 5627: 5587: 5561:Precious metals 5556: 5512:Aluminium alloy 5495: 5428: 5289:animal products 5287: 5281: 5156: 5154:commoditization 5147: 5117: 5112: 5100: 5092: 5078:Great Recession 5073:Government debt 5051: 5027:Fund derivative 4970: 4927: 4888:Futures pricing 4863:Dividend future 4858:Currency future 4841: 4823: 4696: 4672:Put–call parity 4608: 4595:Vertical spread 4530:Diagonal spread 4500:Calendar spread 4471: 4380: 4317: 4242: 4233: 4228: 4190: 4180: 4172:. Basic Books. 4164: 4162:Further reading 4154: 4135: 4116: 4089: 4069: 4064: 4063: 4054: 4052: 4043: 4042: 4038: 4029: 4027: 4018: 4017: 4013: 4001: 4000: 3991: 3990: 3984: 3982: 3972: 3968: 3952: 3951: 3945: 3943: 3939: 3935: 3934: 3930: 3914: 3910: 3898: 3897: 3888: 3887: 3881: 3879: 3869: 3865: 3855: 3853: 3849: 3842: 3833: 3829: 3820: 3818: 3811: 3807: 3798: 3794: 3785: 3783: 3776: 3772: 3763: 3761: 3754: 3750: 3741: 3739: 3734: 3733: 3729: 3719: 3717: 3710: 3706: 3705: 3701: 3690: 3686: 3675: 3671: 3660: 3656: 3625: 3621: 3614: 3610: 3597: 3596: 3592: 3585: 3571: 3567: 3557: 3555: 3540: 3536: 3526: 3524: 3516: 3515: 3511: 3488:Schaede, Ulrike 3485: 3481: 3472: 3470: 3462: 3461: 3457: 3414: 3410: 3401: 3399: 3389: 3385: 3376: 3374: 3369: 3368: 3361: 3352: 3350: 3345: 3344: 3337: 3332: 3281: 3209: 3130: 3124: 3115: 3091: 3025:exchange-traded 3005: 2932: 2929: 2928: 2900: 2897: 2896: 2879: 2839: 2791:In many cases, 2789: 2741: 2711:"producers" of 2693: 2668: 2612: 2520:government bond 2387:Baltic Exchange 2367:, and emissions 2250: 2189:Currency future 2176:. See also the 2162: 2157: 2137: 2121: 2071: 2067: 2049: 2045: 2039: 2035: 2018: 2015: 2014: 1996: 1936: 1932: 1897: 1894: 1893: 1820: 1816: 1781: 1778: 1777: 1726: 1722: 1687: 1684: 1683: 1643: 1639: 1589: 1586: 1585: 1544: 1506: 1450:Cash settlement 1428: 1358:Customer margin 1351:Clearing margin 1306: 1300: 1276: 1274:Risk mitigation 1194: 1062: 1024: 1022: 1010: 998: 997: 968: 958: 957: 949:Fund governance 925: 908: 907: 874:Banking license 865:Bank regulation 852: 823:Deposit account 812: 802: 801: 788:Non-tax revenue 784: 763: 729: 696: 686: 685: 682: 646: 636: 635: 588:Venture capital 552:Risk management 498: 488: 487: 486: 477:Syndicated loan 453: 350: 340: 339: 230: 165: 126: 115: 109: 106: 63: 61: 51: 39: 28: 23: 22: 15: 12: 11: 5: 5771: 5761: 5760: 5755: 5750: 5733: 5732: 5730: 5729: 5723: 5720: 5719: 5717: 5716: 5707: 5702: 5700:Exchange value 5697: 5695:Economic value 5692: 5687: 5682: 5677: 5672: 5667: 5662: 5657: 5651: 5649: 5645: 5644: 5642: 5641: 5635: 5633: 5629: 5628: 5626: 5625: 5620: 5615: 5610: 5605: 5599: 5597: 5593: 5592: 5589: 5588: 5586: 5585: 5580: 5575: 5570: 5564: 5562: 5558: 5557: 5555: 5554: 5549: 5544: 5539: 5534: 5529: 5524: 5519: 5514: 5509: 5503: 5501: 5497: 5496: 5494: 5493: 5488: 5483: 5478: 5473: 5468: 5463: 5458: 5453: 5447: 5445: 5438: 5434: 5433: 5430: 5429: 5427: 5426: 5421: 5416: 5411: 5406: 5401: 5396: 5391: 5390: 5389: 5379: 5374: 5369: 5364: 5359: 5354: 5349: 5344: 5339: 5334: 5329: 5324: 5319: 5314: 5309: 5304: 5299: 5293: 5291: 5283: 5282: 5280: 5279: 5274: 5269: 5264: 5259: 5254: 5249: 5244: 5239: 5234: 5229: 5224: 5219: 5214: 5209: 5204: 5199: 5197:Cottonseed oil 5194: 5189: 5184: 5179: 5173: 5171: 5164: 5158: 5157: 5146: 5145: 5138: 5131: 5123: 5114: 5113: 5111: 5110: 5097: 5094: 5093: 5091: 5090: 5085: 5083:Municipal debt 5080: 5075: 5070: 5068:Corporate debt 5065: 5059: 5057: 5053: 5052: 5050: 5049: 5044: 5039: 5034: 5029: 5024: 5019: 5014: 5009: 5004: 4999: 4994: 4989: 4984: 4978: 4976: 4972: 4971: 4969: 4968: 4963: 4958: 4953: 4948: 4943: 4937: 4935: 4929: 4928: 4926: 4925: 4920: 4915: 4910: 4905: 4900: 4895: 4890: 4885: 4880: 4875: 4870: 4868:Forward market 4865: 4860: 4855: 4850: 4844: 4842: 4840: 4839: 4834: 4828: 4825: 4824: 4822: 4821: 4816: 4811: 4806: 4801: 4796: 4791: 4786: 4781: 4776: 4771: 4766: 4761: 4756: 4751: 4749:Credit default 4746: 4741: 4736: 4731: 4726: 4721: 4716: 4710: 4708: 4702: 4701: 4698: 4697: 4695: 4694: 4689: 4684: 4679: 4674: 4669: 4664: 4659: 4654: 4649: 4644: 4634: 4629: 4624: 4618: 4616: 4610: 4609: 4607: 4606: 4592: 4587: 4582: 4577: 4572: 4567: 4562: 4557: 4552: 4547: 4545:Iron butterfly 4542: 4537: 4532: 4527: 4522: 4517: 4515:Covered option 4512: 4507: 4502: 4497: 4492: 4487: 4481: 4479: 4473: 4472: 4470: 4469: 4464: 4459: 4454: 4453:Mountain range 4451: 4446: 4441: 4436: 4431: 4426: 4421: 4416: 4411: 4406: 4401: 4396: 4390: 4388: 4382: 4381: 4379: 4378: 4373: 4368: 4363: 4358: 4353: 4348: 4343: 4338: 4333: 4327: 4325: 4319: 4318: 4316: 4315: 4310: 4305: 4300: 4295: 4290: 4285: 4280: 4275: 4270: 4265: 4259: 4257: 4250: 4244: 4243: 4238: 4235: 4234: 4227: 4226: 4219: 4212: 4204: 4198: 4197: 4189: 4188:External links 4186: 4185: 4184: 4179:978-0465018437 4178: 4163: 4160: 4159: 4158: 4152: 4139: 4133: 4120: 4114: 4101: 4087: 4068: 4065: 4062: 4061: 4036: 4011: 3966: 3928: 3915:Björk, Tomas. 3908: 3863: 3827: 3805: 3792: 3770: 3748: 3727: 3699: 3684: 3669: 3654: 3641:10.1086/296385 3619: 3608: 3590: 3583: 3565: 3534: 3509: 3479: 3455: 3408: 3383: 3373:. BullionVault 3359: 3334: 3333: 3331: 3328: 3327: 3326: 3321: 3317:, now part of 3312: 3306: 3301: 3296: 3291: 3287:, now part of 3280: 3277: 3276: 3275: 3270: 3265: 3260: 3255: 3250: 3245: 3240: 3235: 3230: 3225: 3220: 3215: 3208: 3205: 3193:mark to market 3143:mark to market 3123: 3120: 3114: 3111: 3110: 3109: 3106:clearing house 3102: 3090: 3087: 3075: 3074: 3073: 3072: 3056: 3055: 3054: 3004: 3001: 3000: 2999: 2984: 2972: 2969: 2966: 2963: 2960: 2957: 2954: 2951: 2948: 2945: 2942: 2939: 2936: 2916: 2913: 2910: 2907: 2904: 2893: 2890: 2878: 2875: 2838: 2835: 2788: 2785: 2769:tracking error 2740: 2737: 2729:VeraSun Energy 2692: 2689: 2667: 2664: 2660: 2659: 2656: 2653: 2650: 2647: 2644: 2641: 2638: 2635: 2632: 2629: 2626: 2611: 2608: 2607: 2606: 2600: 2594: 2588: 2582: 2579: 2561: 2555: 2549: 2543: 2533: 2530:Korea Exchange 2527: 2524:S&P/TSX 60 2505: 2502: 2477: 2447: 2444:Osaka Exchange 2441: 2435: 2429: 2424: 2419: 2413:Deutsche Börse 2406: 2368: 2350: 2340: 2249: 2246: 2237: 2236: 2227: 2222: 2209: 2200: 2191: 2161: 2158: 2156: 2153: 2136: 2133: 2120: 2117: 2109: 2108: 2095: 2092: 2089: 2086: 2083: 2080: 2077: 2074: 2070: 2065: 2061: 2058: 2055: 2052: 2048: 2042: 2038: 2034: 2031: 2028: 2025: 2022: 1995: 1992: 1987: 1986: 1972: 1969: 1966: 1963: 1960: 1957: 1954: 1951: 1948: 1945: 1942: 1939: 1935: 1931: 1928: 1925: 1922: 1919: 1916: 1913: 1910: 1907: 1904: 1901: 1871: 1870: 1856: 1853: 1850: 1847: 1844: 1841: 1838: 1835: 1832: 1829: 1826: 1823: 1819: 1815: 1812: 1809: 1806: 1803: 1800: 1797: 1794: 1791: 1788: 1785: 1759: 1758: 1744: 1741: 1738: 1735: 1732: 1729: 1725: 1721: 1718: 1715: 1712: 1709: 1706: 1703: 1700: 1697: 1694: 1691: 1672: 1671: 1658: 1655: 1652: 1649: 1646: 1642: 1638: 1635: 1632: 1629: 1626: 1623: 1620: 1617: 1614: 1611: 1608: 1605: 1602: 1599: 1596: 1593: 1556:risk-free rate 1543: 1540: 1505: 1502: 1469: 1468: 1454:reference rate 1447: 1427: 1424: 1368:Initial margin 1345:spread traders 1326:clearing house 1302:Main article: 1299: 1296: 1275: 1272: 1264:treasury bills 1193: 1190: 1102:delivery price 1064: 1063: 1061: 1060: 1053: 1046: 1038: 1035: 1034: 1033: 1032: 1020: 1008: 1000: 999: 996: 995: 990: 985: 980: 975: 969: 964: 963: 960: 959: 954: 953: 952: 951: 946: 941: 936: 926: 914: 913: 910: 909: 904: 903: 902: 901: 896: 891: 886: 881: 876: 868: 867: 859: 858: 856:Lists of banks 851: 850: 845: 840: 835: 830: 825: 820: 814: 813: 808: 807: 804: 803: 798: 797: 796: 795: 790: 785: 783: 782: 777: 766: 764: 762: 761: 756: 750: 745: 744: 738: 737: 736: 735: 730: 728: 727: 725:Redistribution 722: 716: 714: 706: 705: 697: 692: 691: 688: 687: 684: 683: 681: 680: 675: 669: 667: 662: 657: 647: 642: 641: 638: 637: 632: 631: 630: 629: 624: 619: 614: 609: 600: 599: 593: 592: 591: 590: 585: 580: 575: 567: 566: 562: 561: 560: 559: 554: 549: 544: 539: 534: 529: 524: 519: 514: 506: 505: 499: 494: 493: 490: 489: 485: 484: 479: 474: 469: 464: 459: 452: 451: 445: 440: 430: 429: 428: 423: 418: 413: 408: 403: 398: 393: 388: 383: 373: 368: 363: 358: 352: 351: 346: 345: 342: 341: 336: 335: 334: 333: 328: 323: 315: 314: 308: 307: 306: 305: 300: 295: 294: 293: 283: 278: 273: 271:Angel investor 265: 264: 258: 257: 256: 255: 250: 245: 240: 238:Private equity 235: 228: 223: 218: 213: 208: 203: 198: 193: 188: 183: 175: 174: 166: 161: 160: 157: 156: 148: 147: 141: 140: 128: 127: 42: 40: 33: 26: 9: 6: 4: 3: 2: 5770: 5759: 5756: 5754: 5753:Margin policy 5751: 5749: 5746: 5745: 5743: 5728: 5725: 5724: 5721: 5715: 5711: 5708: 5706: 5703: 5701: 5698: 5696: 5693: 5691: 5688: 5686: 5683: 5681: 5678: 5676: 5673: 5671: 5668: 5666: 5663: 5661: 5658: 5656: 5653: 5652: 5650: 5648:Miscellaneous 5646: 5640: 5637: 5636: 5634: 5630: 5624: 5621: 5619: 5616: 5614: 5611: 5609: 5606: 5604: 5601: 5600: 5598: 5596:Organizations 5594: 5584: 5581: 5579: 5576: 5574: 5571: 5569: 5566: 5565: 5563: 5559: 5553: 5550: 5548: 5545: 5543: 5540: 5538: 5535: 5533: 5530: 5528: 5525: 5523: 5520: 5518: 5515: 5513: 5510: 5508: 5505: 5504: 5502: 5498: 5492: 5489: 5487: 5484: 5482: 5479: 5477: 5474: 5472: 5469: 5467: 5464: 5462: 5459: 5457: 5454: 5452: 5449: 5448: 5446: 5442: 5439: 5435: 5425: 5422: 5420: 5417: 5415: 5412: 5410: 5407: 5405: 5402: 5400: 5397: 5395: 5392: 5388: 5385: 5384: 5383: 5380: 5378: 5375: 5373: 5370: 5368: 5365: 5363: 5360: 5358: 5355: 5353: 5350: 5348: 5345: 5343: 5340: 5338: 5335: 5333: 5330: 5328: 5327:Feeder cattle 5325: 5323: 5320: 5318: 5315: 5313: 5310: 5308: 5305: 5303: 5300: 5298: 5295: 5294: 5292: 5290: 5286:Animals & 5284: 5278: 5275: 5273: 5270: 5268: 5265: 5263: 5260: 5258: 5255: 5253: 5250: 5248: 5245: 5243: 5240: 5238: 5235: 5233: 5230: 5228: 5225: 5223: 5220: 5218: 5215: 5213: 5210: 5208: 5205: 5203: 5200: 5198: 5195: 5193: 5190: 5188: 5185: 5183: 5180: 5178: 5175: 5174: 5172: 5168: 5165: 5163: 5159: 5155: 5151: 5144: 5139: 5137: 5132: 5130: 5125: 5124: 5121: 5109: 5104: 5099: 5098: 5095: 5089: 5086: 5084: 5081: 5079: 5076: 5074: 5071: 5069: 5066: 5064: 5063:Consumer debt 5061: 5060: 5058: 5056:Market issues 5054: 5048: 5045: 5043: 5040: 5038: 5035: 5033: 5032:Fund of funds 5030: 5028: 5025: 5023: 5020: 5018: 5015: 5013: 5010: 5008: 5005: 5003: 5000: 4998: 4995: 4993: 4990: 4988: 4985: 4983: 4980: 4979: 4977: 4973: 4967: 4964: 4962: 4959: 4957: 4954: 4952: 4949: 4947: 4944: 4942: 4939: 4938: 4936: 4934: 4930: 4924: 4921: 4919: 4916: 4914: 4911: 4909: 4906: 4904: 4901: 4899: 4896: 4894: 4891: 4889: 4886: 4884: 4881: 4879: 4876: 4874: 4873:Forward price 4871: 4869: 4866: 4864: 4861: 4859: 4856: 4854: 4851: 4849: 4846: 4845: 4843: 4838: 4835: 4833: 4830: 4829: 4826: 4820: 4817: 4815: 4812: 4810: 4807: 4805: 4802: 4800: 4797: 4795: 4792: 4790: 4787: 4785: 4784:Interest rate 4782: 4780: 4777: 4775: 4772: 4770: 4767: 4765: 4762: 4760: 4757: 4755: 4752: 4750: 4747: 4745: 4742: 4740: 4737: 4735: 4732: 4730: 4727: 4725: 4722: 4720: 4717: 4715: 4712: 4711: 4709: 4707: 4703: 4693: 4690: 4688: 4685: 4683: 4680: 4678: 4677:MC Simulation 4675: 4673: 4670: 4668: 4665: 4663: 4660: 4658: 4655: 4653: 4650: 4648: 4645: 4642: 4638: 4637:Black–Scholes 4635: 4633: 4630: 4628: 4625: 4623: 4620: 4619: 4617: 4615: 4611: 4604: 4600: 4596: 4593: 4591: 4590:Risk reversal 4588: 4586: 4583: 4581: 4578: 4576: 4573: 4571: 4568: 4566: 4563: 4561: 4558: 4556: 4553: 4551: 4548: 4546: 4543: 4541: 4538: 4536: 4533: 4531: 4528: 4526: 4523: 4521: 4520:Credit spread 4518: 4516: 4513: 4511: 4508: 4506: 4503: 4501: 4498: 4496: 4493: 4491: 4488: 4486: 4483: 4482: 4480: 4478: 4474: 4468: 4465: 4463: 4460: 4458: 4455: 4452: 4450: 4447: 4445: 4444:Interest rate 4442: 4440: 4439:Forward start 4437: 4435: 4432: 4430: 4427: 4425: 4422: 4420: 4417: 4415: 4412: 4410: 4407: 4405: 4402: 4400: 4397: 4395: 4392: 4391: 4389: 4387: 4383: 4377: 4374: 4372: 4369: 4367: 4366:Option styles 4364: 4362: 4359: 4357: 4354: 4352: 4349: 4347: 4344: 4342: 4339: 4337: 4334: 4332: 4329: 4328: 4326: 4324: 4320: 4314: 4311: 4309: 4306: 4304: 4301: 4299: 4296: 4294: 4291: 4289: 4286: 4284: 4283:Open interest 4281: 4279: 4276: 4274: 4271: 4269: 4266: 4264: 4263:Delta neutral 4261: 4260: 4258: 4254: 4251: 4249: 4245: 4241: 4236: 4232: 4225: 4220: 4218: 4213: 4211: 4206: 4205: 4202: 4195: 4192: 4191: 4181: 4175: 4171: 4166: 4165: 4155: 4153:0-333-76447-1 4149: 4145: 4140: 4136: 4134:0-13-241399-X 4130: 4126: 4121: 4117: 4115:0-387-24107-8 4111: 4107: 4102: 4098: 4094: 4090: 4088:0-87584-560-6 4084: 4079: 4078: 4071: 4070: 4050: 4046: 4040: 4025: 4021: 4015: 4007: 3995: 3981: 3977: 3970: 3962: 3956: 3938: 3932: 3926: 3922: 3918: 3912: 3904: 3892: 3878: 3874: 3867: 3848: 3841: 3837: 3831: 3816: 3809: 3802: 3796: 3781: 3774: 3759: 3752: 3737: 3736:"Month Codes" 3731: 3716: 3709: 3703: 3695: 3688: 3680: 3673: 3665: 3658: 3650: 3646: 3642: 3638: 3634: 3630: 3623: 3617: 3612: 3604: 3600: 3594: 3586: 3580: 3576: 3569: 3553: 3549: 3545: 3538: 3523: 3519: 3513: 3505: 3501: 3497: 3493: 3489: 3483: 3469: 3465: 3459: 3451: 3447: 3443: 3439: 3435: 3431: 3427: 3423: 3419: 3412: 3398: 3394: 3387: 3372: 3366: 3364: 3348: 3342: 3340: 3335: 3325: 3322: 3320: 3316: 3313: 3310: 3307: 3305: 3302: 3300: 3297: 3295: 3292: 3290: 3286: 3283: 3282: 3274: 3271: 3269: 3266: 3264: 3261: 3259: 3256: 3254: 3251: 3249: 3246: 3244: 3241: 3239: 3236: 3234: 3231: 3229: 3226: 3224: 3221: 3219: 3216: 3214: 3213:1256 Contract 3211: 3210: 3204: 3200: 3198: 3194: 3188: 3185: 3181: 3178: 3174: 3171: 3166: 3164: 3159: 3155: 3151: 3147: 3145: 3144: 3139: 3135: 3129: 3119: 3107: 3103: 3100: 3099: 3098: 3096: 3086: 3084: 3079: 3070: 3069: 3064: 3063: 3061: 3057: 3052: 3048: 3044: 3040: 3036: 3035: 3034: 3032: 3027: 3026: 3021: 3020: 3019: 3017: 3012: 3010: 2997: 2993: 2989: 2985: 2967: 2964: 2961: 2955: 2952: 2946: 2943: 2940: 2934: 2911: 2908: 2905: 2894: 2891: 2888: 2884: 2883: 2882: 2874: 2872: 2867: 2866:open interest 2862: 2860: 2856: 2852: 2848: 2844: 2843:United States 2834: 2832: 2826: 2822: 2820: 2817:, namely the 2816: 2812: 2808: 2804: 2800: 2796: 2795: 2784: 2782: 2778: 2773: 2770: 2765: 2761: 2757: 2752: 2750: 2749:swing trading 2746: 2736: 2732: 2730: 2724: 2722: 2718: 2714: 2709: 2705: 2700: 2698: 2688: 2685: 2681: 2677: 2673: 2663: 2657: 2654: 2651: 2649:September = U 2648: 2645: 2642: 2639: 2636: 2633: 2630: 2627: 2624: 2623: 2622: 2620: 2615: 2604: 2601: 2598: 2595: 2592: 2589: 2586: 2583: 2580: 2578: 2574: 2570: 2566: 2562: 2559: 2556: 2553: 2550: 2547: 2544: 2541: 2537: 2534: 2531: 2528: 2525: 2521: 2517: 2513: 2509: 2506: 2503: 2501: 2497: 2493: 2489: 2485: 2481: 2478: 2475: 2471: 2467: 2463: 2459: 2455: 2451: 2448: 2445: 2442: 2439: 2436: 2433: 2430: 2428: 2425: 2423: 2420: 2418: 2414: 2410: 2407: 2404: 2400: 2396: 2392: 2388: 2384: 2380: 2376: 2372: 2371:NYSE Euronext 2369: 2366: 2362: 2358: 2354: 2351: 2348: 2344: 2341: 2338: 2334: 2330: 2326: 2322: 2318: 2314: 2310: 2306: 2302: 2298: 2294: 2290: 2286: 2282: 2278: 2274: 2271: 2270: 2269: 2267: 2263: 2259: 2255: 2245: 2242: 2235: 2231: 2228: 2226: 2223: 2221: 2217: 2213: 2212:Equity market 2210: 2208: 2204: 2201: 2199: 2195: 2192: 2190: 2186: 2183: 2182: 2181: 2179: 2175: 2171: 2167: 2152: 2150: 2149:backwardation 2146: 2142: 2132: 2130: 2126: 2116: 2114: 2090: 2087: 2084: 2075: 2068: 2063: 2056: 2050: 2046: 2040: 2036: 2032: 2026: 2020: 2013: 2012: 2011: 2009: 2004: 2002: 1991: 1967: 1964: 1961: 1952: 1949: 1946: 1943: 1940: 1933: 1926: 1920: 1917: 1911: 1908: 1905: 1899: 1892: 1891: 1890: 1888: 1884: 1880: 1876: 1851: 1848: 1845: 1836: 1833: 1830: 1827: 1824: 1817: 1810: 1804: 1801: 1795: 1792: 1789: 1783: 1776: 1775: 1774: 1772: 1768: 1764: 1739: 1736: 1733: 1727: 1723: 1716: 1710: 1707: 1701: 1698: 1695: 1689: 1682: 1681: 1680: 1679: 1678: 1653: 1650: 1647: 1636: 1633: 1630: 1624: 1618: 1612: 1609: 1603: 1600: 1597: 1591: 1584: 1583: 1582: 1580: 1576: 1572: 1568: 1564: 1559: 1557: 1553: 1549: 1539: 1537: 1532: 1528: 1523: 1519: 1515: 1511: 1501: 1498: 1494: 1490: 1486: 1482: 1477: 1473: 1466: 1463: 1459: 1455: 1451: 1448: 1444: 1440: 1437: 1436: 1435: 1433: 1423: 1421: 1417: 1414: 1410: 1408: 1404: 1400: 1398: 1394: 1390: 1387: 1383: 1379: 1375: 1372: 1369: 1365: 1363: 1359: 1355: 1352: 1348: 1346: 1342: 1338: 1333: 1331: 1330:due diligence 1327: 1323: 1319: 1310: 1305: 1295: 1293: 1288: 1284: 1282: 1271: 1269: 1265: 1261: 1257: 1253: 1250:(IMM) by the 1249: 1244: 1242: 1238: 1234: 1230: 1226: 1222: 1218: 1213: 1211: 1207: 1203: 1199: 1189: 1186: 1181: 1177: 1175: 1174:organ futures 1171: 1167: 1163: 1159: 1155: 1150: 1148: 1144: 1143: 1137: 1135: 1131: 1126: 1122: 1118: 1113: 1111: 1107: 1106:delivery date 1103: 1099: 1098:forward price 1095: 1091: 1087: 1083: 1079: 1075: 1071: 1059: 1054: 1052: 1047: 1045: 1040: 1039: 1037: 1036: 1031: 1021: 1019: 1014: 1009: 1007: 1004: 1003: 1002: 1001: 994: 991: 989: 986: 984: 981: 979: 976: 974: 971: 970: 967: 962: 961: 950: 947: 945: 942: 940: 937: 935: 932: 931: 930: 929: 924: 923:Financial law 921: 917: 912: 911: 900: 897: 895: 892: 890: 887: 885: 882: 880: 879:Basel Accords 877: 875: 872: 871: 870: 869: 866: 863: 862: 857: 854: 853: 849: 846: 844: 841: 839: 836: 834: 831: 829: 826: 824: 821: 819: 816: 815: 811: 806: 805: 794: 791: 789: 786: 781: 778: 775: 771: 768: 767: 765: 760: 757: 755: 752: 751: 749: 748: 747: 746: 743: 740: 739: 734: 731: 726: 723: 721: 718: 717: 715: 713: 710: 709: 708: 707: 704: 701: 700: 695: 690: 689: 679: 676: 674: 671: 670: 668: 666: 663: 661: 658: 656: 652: 649: 648: 645: 640: 639: 628: 625: 623: 620: 618: 617:Tax inversion 615: 613: 610: 607: 604: 603: 602: 601: 598: 595: 594: 589: 586: 584: 581: 579: 576: 574: 571: 570: 569: 568: 564: 563: 558: 555: 553: 550: 548: 545: 543: 540: 538: 535: 533: 530: 528: 525: 523: 520: 518: 515: 513: 510: 509: 508: 507: 503: 502: 497: 492: 491: 483: 482:Synthetic CDO 480: 478: 475: 473: 470: 468: 465: 463: 460: 458: 455: 454: 449: 446: 444: 441: 439: 435: 432: 431: 427: 424: 422: 419: 417: 414: 412: 409: 407: 404: 402: 399: 397: 394: 392: 389: 387: 384: 381: 377: 374: 372: 369: 367: 364: 362: 359: 357: 354: 353: 349: 344: 343: 332: 329: 327: 324: 322: 319: 318: 317: 316: 313: 310: 309: 304: 301: 299: 296: 292: 291:institutional 289: 288: 287: 284: 282: 279: 277: 274: 272: 269: 268: 267: 266: 263: 260: 259: 254: 251: 249: 246: 244: 241: 239: 236: 233: 229: 227: 224: 222: 219: 217: 214: 212: 209: 207: 204: 202: 199: 197: 196:Capital asset 194: 192: 189: 187: 184: 182: 179: 178: 177: 176: 173: 170: 169: 164: 159: 158: 154: 150: 149: 146: 143: 142: 138: 134: 133: 124: 121: 113: 102: 99: 95: 92: 88: 85: 81: 78: 74: 71: – 70: 66: 65:Find sources: 59: 55: 49: 48: 43:This article 41: 37: 32: 31: 19: 5607: 5382:Pork bellies 5377:Pet industry 4883:Forward rate 4836: 4794:Total return 4682:Real options 4585:Ratio spread 4565:Naked option 4525:Debit spread 4356:Fixed income 4298:Strike price 4169: 4143: 4124: 4105: 4076: 4053:. 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Retrieved 3201: 3189: 3183: 3182: 3179: 3175: 3169: 3167: 3160: 3156: 3152: 3148: 3141: 3132:Futures are 3131: 3116: 3092: 3080: 3076: 3066: 3058:Futures are 3051:counterparty 3050: 3046: 3042: 3041:and face an 3039:standardized 3038: 3029: 3023: 3022:Futures are 3013: 3006: 2995: 2991: 2987: 2886: 2880: 2863: 2840: 2827: 2823: 2807:strike price 2792: 2790: 2774: 2753: 2742: 2733: 2725: 2701: 2694: 2679: 2669: 2661: 2658:December = Z 2655:November = X 2628:February = G 2616: 2613: 2496:orange juice 2251: 2238: 2194:Money market 2163: 2143:is known as 2138: 2122: 2110: 2005: 1997: 1988: 1886: 1882: 1878: 1874: 1872: 1770: 1766: 1762: 1760: 1675: 1673: 1578: 1574: 1573:to maturity 1570: 1566: 1562: 1560: 1545: 1507: 1484: 1480: 1475: 1471: 1470: 1449: 1438: 1432:consummating 1429: 1419: 1418: 1412: 1411: 1402: 1401: 1396: 1395: 1391: 1388: 1384: 1380: 1376: 1373: 1367: 1366: 1357: 1356: 1350: 1349: 1334: 1316:To minimize 1315: 1289: 1285: 1277: 1245: 1214: 1195: 1182: 1178: 1153: 1151: 1142:stock future 1140: 1138: 1114: 1105: 1101: 1097: 1077: 1073: 1067: 919: 848:Money supply 833:Full-reserve 818:Central bank 678:Student loan 653: / 565:Transactions 400: 376:Time deposit 262:Participants 191:Asset growth 116: 107: 97: 90: 83: 76: 64: 52:Please help 47:verification 44: 5476:Natural gas 5471:Heating oil 5347:Hide (skin) 5337:Live cattle 5262:Soybean oil 5150:Commodities 4814:Zero Coupon 4744:Correlation 4692:Vanna–Volga 4550:Iron condor 4336:Bond option 4002:|last= 3899:|last= 3738:. CME Group 3397:FOXBusiness 3170:credit risk 3163:credit risk 3068:credit risk 2849:(CFTC), an 2819:Black model 2756:mutual fund 2745:day traders 2739:Speculators 2676:speculators 2652:October = V 2625:January = F 2573:commodities 2377:into which 2365:natural gas 2305:natural gas 2301:heating oil 2285:S&P 500 2241:commodities 2239:Trading on 2203:Bond market 1529:Futures or 1485:front-month 1407:speculators 1225:commodities 1185:speculation 1134:spot market 386:Credit line 348:Instruments 243:Real estate 206:Derivatives 5742:Categories 5532:Molybdenum 5227:Peanut oil 5088:Tax policy 4804:Volatility 4714:Amortising 4555:Jelly roll 4490:Box spread 4485:Backspread 4477:Strategies 4313:Volatility 4308:the Greeks 4273:Expiration 4067:References 4055:2024-04-13 4030:2024-04-13 3985:2024-04-13 3946:2020-01-12 3882:2024-04-13 3856:8 February 3821:2020-05-18 3786:2020-05-18 3764:2020-05-18 3742:2015-11-09 3473:2024-04-07 3402:2020-12-02 3377:2015-11-09 3353:2015-11-09 3138:spot price 3047:customized 2684:derivative 2646:August = Q 2565:currencies 2522:futures, 2452:– metals: 2411:– part of 2347:Oman Crude 2264:) and the 2141:spot price 2129:martingale 1552:discounted 1527:Eurodollar 1497:underlying 1481:back month 1476:Expiration 1292:spot value 1130:volatility 1110:derivative 916:Regulation 720:Operations 673:Retirement 512:Accounting 396:Derivative 303:Speculator 135:Part of a 110:March 2022 80:newspapers 5710:Use value 5573:Palladium 5507:Aluminium 5461:Crude oil 5424:Wool tops 5414:Whalebone 5297:Ambergris 5217:Olive oil 4779:Inflation 4729:Commodity 4687:Trinomial 4622:Bachelier 4614:Valuation 4495:Butterfly 4429:Commodore 4278:Moneyness 3980:CME Group 3877:CME Group 3836:CME Group 3558:August 5, 3527:August 5, 3522:CME Group 3442:1836-6716 3319:CME Group 3289:CME Group 3122:Margining 2953:− 2811:delta one 2697:consumers 2680:hedge out 2634:April = J 2631:March = H 2619:CME Group 2512:TMX Group 2476:and steel 2458:aluminium 2403:AEX index 2361:crude oil 2337:palladium 2293:crude oil 2273:CME Group 2248:Exchanges 2180:article. 2088:− 1965:− 1950:− 1849:− 1834:− 1737:− 1674:or, with 1651:− 1625:× 1510:arbitrage 1341:commodity 1090:commodity 978:Recession 939:ISO 31000 622:Tax haven 496:Corporate 411:Insurance 406:Indemnity 312:Locations 201:Commodity 5578:Platinum 5332:Lean Hog 5322:Feathers 5312:Cashmere 5237:Rapeseed 5232:Potatoes 5222:Palm oil 5202:Flaxseed 4918:Slippage 4848:Contango 4832:Forwards 4799:Variance 4759:Dividend 4754:Currency 4667:Margrabe 4662:Lattices 4641:equation 4627:Binomial 4575:Strangle 4570:Straddle 4467:Swaption 4449:Lookback 4434:Compound 4376:Warrants 4351:European 4331:American 4323:Vanillas 4288:Pin risk 4268:Exercise 4097:32895048 3994:cite web 3955:cite web 3891:cite web 3450:37688713 3207:See also 3184:Example: 3134:margined 3095:exchange 3060:margined 3043:exchange 2986:At time 2643:July = N 2640:June = M 2569:equities 2395:FTSE 100 2375:Euronext 2333:aluminum 2325:platinum 2297:gasoline 2160:Contract 2145:contango 1569:at time 1082:contract 754:Taxation 644:Personal 597:Taxation 472:Security 426:Mortgage 286:Investor 5714:utility 5491:Uranium 5486:Thorium 5481:Propane 5466:Ethanol 5404:Sponges 5302:Bristle 5257:Soybean 5170:General 4837:Futures 4457:Rainbow 4424:Cliquet 4419:Chooser 4399:Barrier 4386:Exotics 4248:Options 3649:2352947 3311:now ICE 3197:accrues 2794:options 2708:farmers 2691:Hedgers 2672:hedgers 2637:May = K 2542:(SIMEX) 2391:EURIBOR 2313:propane 1554:at the 1504:Pricing 1337:hedgers 1241:bullion 1210:samurai 1132:of the 1078:futures 1070:finance 1006:Outline 810:Banking 774:balance 772: ( 504:General 436: ( 391:Deposit 211:Domains 163:Markets 145:Finance 94:scholar 5583:Silver 5537:Nickel 5522:Copper 5517:Cobalt 5444:Energy 5409:Tallow 5352:Horses 5307:Butter 5252:Rubber 5192:Cotton 5187:Coffee 5177:Barley 4898:Margin 4764:Equity 4657:Heston 4560:Ladder 4510:Condor 4505:Collar 4462:Spread 4409:Binary 4404:Basket 4176: 4150: 4131: 4112: 4095: 4085: 3923: 3647: 3581: 3448: 3440: 2996:F(T,T) 2992:F(T,T) 2887:F(t,T) 2492:cotton 2488:coffee 2470:nickel 2454:copper 2399:CAC 40 2329:copper 2321:silver 2232:– see 2214:– see 2205:– see 2196:– see 2187:– see 1563:F(t,T) 1520:, and 1472:Expiry 1298:Margin 1281:margin 1262:on US 1235:, raw 1229:Bombay 1192:Origin 918: 770:Budget 694:Public 651:Credit 608:(BEPS) 443:exotic 434:Option 298:Retail 216:Equity 172:Assets 137:series 96: 89: 82: 75: 67: 5705:Price 5542:Steel 5394:Sheep 5357:Ivory 5342:Goats 5317:Civet 5277:Wheat 5267:Sugar 5182:Cocoa 4769:Forex 4724:Basis 4719:Asset 4706:Swaps 4632:Black 4535:Fence 4394:Asian 4256:Terms 3940:(PDF) 3850:(PDF) 3843:(PDF) 3720:2 May 3711:(PDF) 3708:"NSE" 3645:JSTOR 3330:Notes 2855:fines 2610:Codes 2552:NCDEX 2546:ROFEX 2532:– KRX 2500:sugar 2484:cocoa 2434:TOCOM 2409:Eurex 2383:LIFFE 2289:NYMEX 2262:Eurex 1465:Brent 1443:NYMEX 1221:grain 1202:Osaka 1125:short 1086:asset 517:Audit 467:Stock 253:Stock 226:Money 101:JSTOR 87:books 5632:Laws 5568:Gold 5552:Zinc 5527:Lead 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