futures-equivalent

Definition of "futures-equivalent"
  1. The number of options contracts in relation to their risk, measured by their delta, that equates to an identical position in an underlying futures contract
How to use "futures-equivalent" in a sentence
  1. After calculating, he found the futures-equivalent of his options contract was much higher than anticipated.
  2. To manage his risk, Jack analyzed the futures-equivalent of his position.
  3. The risk manager used the concept of futures-equivalent to maintain control over their speculative positions.

Provide Feedback
Browse Our Legal Dictionary
# 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