Month: March 2016

  • Certified Stocks

    Concept of Certificated or Certified Stocks in Futures TradingIn this context of financial law, the following is a definition of Certificated or Certified Stocks: Stocks of a commodity that have been inspected and found to be of a quality deliverable against futures contracts, stored at the […]

  • Eligible Commercial Entity

    Concept of Eligible Commercial Entity in Futures TradingIn this context of financial law, the following is a definition of Eligible Commercial Entity: An eligible contract participant or other entity approved by the CFTC that has a demonstrable ability to make or take delivery of an underlying […]

  • Verification

    Definition of VerificationThis is the meaning of Verification published by Marco Terry: The process where a factoring company verifies the validity an value of a client’s invoice with the customer.

  • Bull Vertical Spread

    ResourcesSee AlsoBull Spread Futures Trading Consumer Protection Consumer Finance

  • Day Count Fraction

    Concept of Day Count Fraction in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The number of days between coupon payment dates (calculation period) divided by the number of days in the year as specified in the applicable day count […]

  • Prices

    Strike PriceConcept of Strike Price in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The price at which an option contract is executed.ResourcesSee AlsoDerivatives Contract

  • Interest Rate Futures

    Concept of Interest Rate Futures in Futures TradingIn this context of financial law, the following is a definition of Interest Rate Futures: Futures contracts traded on fixed income securities such as U.S. Treasury issues, or based on the levels of specified interest rates such as LIBOR (London […]

  • At-the-Market

    Concept of At-the-Market in Futures TradingIn this context of financial law, the following is a definition of At-the-Market: An order to buy or sell a futures contract at whatever price is obtainable when the order reaches the trading facility. See Market Order.

  • Support

    Concept of Support in Futures TradingIn this context of financial law, the following is a definition of Support: In technical analysis, a price area where new buying is likely to come in and stem any decline. See Resistance.

  • Major Swap Participant

    Concept of Major Swap Participant (MSP) in Futures TradingIn this context of financial law, the following is a definition of Major Swap Participant (MSP): A designation in the Commodity Exchange Act as amended by the Dodd-Frank Act for large traders in swap markets that are not swap dealers. […]

  • Market-on-Close

    Concept of Market-on-Close in Futures TradingIn this context of financial law, the following is a definition of Market-on-Close: An order to buy or sell at the end of the trading session at a price within the closing range of prices. See Stop-Close-Only Order.

  • Overnight Trade

    Concept of Overnight Trade in Futures TradingIn this context of financial law, the following is a definition of Overnight Trade: A trade which is not liquidated during the same trading session during which it was established.

  • Roll-Over

    Concept of Roll-Over in Futures TradingIn this context of financial law, the following is a definition of Roll-Over: A trading procedure involving the shift of one month of a straddle into another future month while holding the other contract month. The shift can take place in either the long […]

  • Derivative Trade

    Tear upConcept of Tear up in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The process by which derivative (i.e. an instrument that transfers risk from one party to the other) trades which have equal and opposite economics are […]

  • Constant Maturity Swap

    Constant Maturity Swap (cms)Concept of Constant Maturity Swap (cms) in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): An interest rate derivative (i.e. an instrument that transfers risk from one party to the other) in which one leg […]