Ad
related to: open interest derivatives
Search results
Results from the WOW.Com Content Network
Open interest (also known as open contracts or open commitments) refers to the total number of outstanding derivative contracts that have not been settled (offset by delivery). [ 1 ] For each buyer of a futures contract there must be a seller.
Open interest (futures) is the number of "open" contracts or open interest of derivatives in the futures market. Open interest in a derivative is the sum of all contracts that have not expired, been exercised or physically delivered. Moreover, the open interest is the number of long positions or, equivalently, the number of short positions.
Hedgers have an interest in the underlying asset (which could include an intangible such as an index or interest rate) and are seeking to hedge out the risk of price changes. Speculators, by contrast, seek to make a profit by predicting market moves and opening a derivative contract related to the asset "on paper", while they have no practical ...
Derivatives are broadly categorized by the relationship between the underlying asset and the derivative (such as forward, option, swap); the type of underlying asset (such as equity derivatives, foreign exchange derivatives, interest rate derivatives, commodity derivatives, or credit derivatives); the market in which they trade (such as ...
The derivatives market is the financial market for derivatives ... Interest rate contracts: $145.0 trillion (86%) ... which represent the cost of replacing all open ...
More generally though, simulation is employed for path dependent exotic derivatives, such as Asian options. In other cases, the source of uncertainty may be at a remove. For example, for bond options [3] the underlying is a bond, but the source of uncertainty is the annualized interest rate (i.e. the short rate).
In finance, a forward contract, or simply a forward, is a non-standardized contract between two parties to buy or sell an asset at a specified future time at a price agreed on in the contract, making it a type of derivative instrument.
Inflation derivative; Inflation swap; Intellidex; Interest rate cap and floor; Interest rate derivative; Interest rate future; Interest rate option; Interest rate swap; Intermarket spread; International Securities Lending Association; International Swaps and Derivatives Association; Intrinsic value (finance) Iron butterfly (options strategy ...
Ad
related to: open interest derivatives