Medi Assist Healthcare IPO

Home Options and Futures

Finance Wiki

Trending Categories

All Financial Terms Financial Instruments Market Entities Corporate Actions Public Offerings Fixed Income Instruments Currency Commodity Mutual Funds Derivatives Trading Terms Taxes

More

Derivatives Trading Terms Taxes Property Fixed Income Credit Cards Options and Futures Stocks Insurance IPO Technicals Retirement Planning Loans Gold Bank Deposits

A

B

C

D

E

F

G

H

I

J

K

L

M

N

O

P

Q

R

S

T

U

V

W

X

Y

Z

#

Options and Futures

Purchasing Hedge or Long Hedge

In order to safeguard against potential price hikes in the future, investors often turn to purchasing futures contracts for cash commodities. This involves buying contracts for the same amount and type of commodities that are expected to be bought in the future. This practice, also known as a buying hedge, is a form of hedging that helps mitigate risks associated with fluctuating market prices. By closing the futures position at the time of purchase, investors can protect themselves from potential losses and ensure a more stable financial position.

GLOBEX®

Imagine a world where financial markets never sleep. Where investors and traders can buy and sell securities around the clock, regardless of their location. This is the real...

More

Pulpit

In the exciting world of finance, we often come across the term "pit" or "ring" at futures exchanges. But have you ever wondered what happens in that raised structure next ...

More

Intercommodity Spread

Futures spreads, or commonly known as intermarket spreads, refer to the strategy of buying a specific delivery month in one futures market and selling the same delivery mon...

More

Econometrics

Economics is a discipline that relies heavily on statistical and mathematical tools to analyze and understand economic phenomena. These methods are used to test and evaluate...

More