Notices

Underlying

From Traderpedia

Revision as of 14:20, 8 September 2005 by Rhody Trader (Talk | contribs)
(diff) ←Older revision | Current revision (diff) | Newer revision→ (diff)
Definition:
The cash, commodity or financial instrument on which a futures or option contract is based, or the stock upon which the value of a warrant is based.


The underlying is the deliverable upon which the value of a derivatives contract is based. This can include "non-deliverable" items such as indices.

Retrieved from "http://www.trade2win.com/traderpedia/Underlying"