Index Future


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Index Future

A futures contract in which the holder agrees to buy an index (such as the Dow Jones Industrial Average) at a certain price on a stated date in the future. One makes a profit from an index future if the price of the index is above the price of the index future on the date the contract matures. One loses if the price of the index is below the price of the future. Because one cannot physically buy an index, index futures are settled in cash.
References in periodicals archive ?
The study examined the impact of stock index future trading, on the volatility of the underlying Nifty and Nifty Junior stock index market, is investigated by estimating a model for a period which covers the time before and after the introduction of stock index futures contracts.
Buyers and sellers of stock index futures bet $26 billion a day: $13 billion up and $13 billion down.
Recent press reports have blamed thevolatility in the stock market on stock index futures and options.
Most traders have a choice of trading vehicles to implement a given trade, from ETFs to basket trades, from stock index futures contracts to OTC equity swaps," says Laurie Berke, a New York-based partner at TABB and author of the report.
HedgeStreet Adds Binary Options on DAX([R])and FTSE 100([R]) Equity Index futures
The index futures was launched at the China Financial Futures Exchange (CFFEX) and started trading from April 16, 2010.
SG's newest three index futures contracts, which are based on the MSCI Thailand Index(SM), the MSCI Philippines Index(SM) and the MSCI India Index(SM) have been certified by the U.
DGCX aims to expand this equities proposition by launching similar contracts such as the MSCI India Index Futures in near future.
DGCX Sensex Futures will be the first Indian index futures to be introduced to the Mena region, said a statement.
Credit Suisse (NYSE: CS) and Morgan Stanley (NYSE: MS) have received approval to trade stock index futures on the China Financial Futures Exchange.
VIX Index futures will be the first contract traded on a CBOE Holdings exchange with around-the-clock access, five days a week, pending regulatory approval.
The Osaka Securities Exchange began trading Monday of Dow Jones Industrial Average index futures, enabling investors in Japan to take a punt on how the major U.