Category: L

  • Life of Contract

    Concept of Life of Contract in Futures TradingIn this context of financial law, the following is a definition of Life of Contract: Period between the beginning of trading in a particular futures contract and the expiration of trading. In some cases, this phrase denotes the period already passed […]

  • Loss Tranche

    Equity/first Loss TrancheConcept of Equity/first Loss Tranche in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The first loss and riskiest tranche in a CDO where there is no subordination. For example, a tranche with a 0% – 4% […]

  • Leverage

    Concept of leverage in Futures TradingIn this context of financial law, the following is a definition of leverage: The ability to control large dollar amounts of a commodity or security with a comparatively small amount of capital.

  • Lock In

    Lock inConcept of Lock in in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The process by which two counterparties meet to rectify outstanding confirmation issues.ResourcesSee AlsoDerivatives Contract