settlement month

Settlement Month

The month during which the underlying asset of a futures contract or forward contract is delivered to the contract holder. A contract holder may offset the contract by taking an opposite position before it matures, but any investor holding such a contract on the expiration date must take delivery during the settlement month. See also: Delivery date, Notice day.

settlement month

The month in which delivery is to take place in a futures contract. Most futures positions are reversed (that is, long positions are sold and short positions are covered) before their respective settlement months.

References in periodicals archive ?

Given these latest figures cover the key settlement month of January they show there are no signs of wage inflationary pressures building up in the manufacturing sector.

Manufacturing pay deals stay low

The secondary marketing department should determine for each forward type, settlement month and coupon, what the mortgage banker's net long or short position is, based on a loan-by-loan analysis of likely settlement month and market value sensitivity analysis.

Second, pricing glitches will occur once a month when the projected settlement month for new rate-lock commitments rolls back a month, unless the secondary marketing department factors in interest carry from loan closing date to forward settlement date.

Secondary marketing done better

equal to the likely settlement month, forward-market prices) is, perhaps unknowingly, building in a substantially smaller profit margin on some commitments than on others.

Pricing for profits

Rounds initially filed for sole custody of their child, but the estranged couple finally reached settlement months later.

Rosie O'Donnell Addresses Wife Michelle Rounds' Suicide

Hedging strategies also combine financial and statistical models that optimize the placement of hedge coverage between optional and mandatory delivery systems, forward programs and settlement months.