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Stock Index Future

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Stock Index Future
A security that uses composite stock indexes to allow investors to speculate on the performance of the entire market, or to hedge against losses in long or short positions. The settlement of the contracts is in cash.
Stock Index Future
A futures contract on a stock index. In a stock index future, the counterparties agree to trade the underlying index at a certain time for a certain price. Because it is impossible to physically deliver the index, stock index futures are settled in cash, especially if the underlying assets are indices. Financial futures may be traded like other futures.
stock index future
A contract for the future delivery of a sum of money based on the value of a stock index (in most cases, 500 times the index). Unlike other futures contracts, in which a given commodity is specified for delivery, stock index futures call for cash settlements, because it is not possible to deliver an actual index. This future can be used to speculate on the future direction of the stock market (rather than just a few stocks) or to hedge a portfolio of securities against general market movements. See also Section 1256 contracts.
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stock index futures pointed to a higher open on Wednesday after robust factory data from Asia and better-than-expected results from Nike encouraged investors as the quarter comes to a close.
Stock futures up as Q3 nears end; jobs data, GDP eyed by Financial Mirror (Cyprus)
lt;strong>Stock Futures point higher as Oil rises</strong> Stock index futures moved higher on Wednesday as commodity prices rose and investors looked ahead to a private sector employment report expected to show an easing of job losses ahead of the government's June payroll data.
Market Outlook for Wednesday by International Business Times - US ed.
And yet today's trader has to know precisely how to compare the cost of an ETF to the cost of the underlying basket, all the while needing to understand financing and volatility charges included in the price of a swap transaction and the richness/cheapness of roll risk in the calendar spread on the stock index future.
Optimising ETFs: Is there an easier way? by CPI Financial
 
 
 
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