futures option

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Futures option

Futures Option

A contract giving the holder the right (but not the obligation) to buy (if a call) or sell (if a put) a futures contract. In other words, the underlying asset of a futures option is a futures contract (which itself has a separate underlying asset). A futures option may be useful if it is not readily apparent whether taking a certain futures position would be beneficial to one's investment strategy.

futures option

A put or call option on a futures contract. Because of the price volatility of futures contracts, options on these contracts are high-risk investments. See also Section 1256 contracts.
References in periodicals archive ?
Furthermore, the launch of stock options further widened the breadth of Saxo's global futures and options offering which now covers Futures Contract, Futures Options, Index Options and Stock Options therefore enabling clients to enhance their individual investment strategies by hedging their exposures and generating extra revenues.
Currently futures options are traded on many agricultural, financial, currency and stock index futures.
In this context, securities refers to a wide range of financial instruments, including securities, securities options, money market instruments, futures, and futures options.
Anyone can sign up to try out OptionVue[R] on the BESTDirect platform for futures and futures options trading at no charge," said PFGBEST President and Chief Operating Officer Russ Wasendorf, Jr.
Another first for the Chicago Mercantile Exchange (CME) and Chicago Board Options Exchange (CBOE), who are offering futures and futures options, and cash-settled index options, respectively, the move is expected to enhance the already sizeable U.
Our goals are to help them be more comfortable with trading futures options and understand the value of options in a trading strategy," said Jeff Lewandowski, director of the PFGBEST Options Division.
In support of the mark/yen futures and futures options, the CME has implemented a high-profile Market-Incentive Program (MIP) aimed at the currency trading community and intended to establish a credible, liquid market in both futures and options.
Interactive Brokers clients can trade equity, forex, fixed income, energy, metals, and other commodities futures and futures options worldwide from a single account.
Likewise, the interest-rate quadrant established three new marks, in combined futures and options at 661,094, in futures at 534,954 and in futures options at 126,140.
tv, invited veteran equity options trader and OptionsHouse Chief Investment Strategist, Steve Claussen, for a discussion about the CBOE Market Volatility Index (VIX) and S&P 500 futures options volatility.
CME single-day volume records were set on Friday in Deutsche mark futures options (66,415) and calls on Deutsche mark futures options (39,580).
com, is the only educational website available that allows users to simulate managing a portfolio of stocks, options, bonds, futures, futures options, and mutual funds from 20+ exchanges around the world.