Changer

AAA

DEFINITION of 'Changer'

The name given to a clearing member that is willing to assume the opposite position of a futures contract within a larger alternative exchange, of which it also is a clearing member.

INVESTOPEDIA EXPLAINS 'Changer'

A changer commonly refers to clearing members of the CME who provide liquidity by taking the opposite futures positions on larger alternative exchanges. As changers must bear the risks associated with entering into the opposite futures transaction, they charge a fee for their services.

RELATED TERMS
  1. Clearing

    The procedure by which an organization acts as an intermediary ...
  2. Associated Person

    The name given to participants within the futures market that ...
  3. Broker Association

    A permitted association between exchange members who have shared ...
  4. Multibank Holding Company

    A company that owns or controls two or more banks. Mutlibank ...
  5. Short Put

    A type of strategy regarding a put option, which is a contract ...
  6. Cash-And-Carry Trade

    A trading strategy in which an investor buys a long position ...
Related Articles
  1. Introduction To Single Stock Futures
    Options & Futures

    Introduction To Single Stock Futures

  2. An Introduction To Managed Futures
    Options & Futures

    An Introduction To Managed Futures

  3. Trading The Soft Commodity Markets
    Options & Futures

    Trading The Soft Commodity Markets

  4. Auction Rate Securities: Bidding On ...
    Bonds & Fixed Income

    Auction Rate Securities: Bidding On ...

Hot Definitions
  1. Halloween Strategy

    An investment technique in which an investor sells stocks before May 1 and refrains from reinvesting in the stock market ...
  2. Halloween Massacre

    Canada's decision to tax all income trusts domiciled in Canada. In October 2006, Canada's minister of finance, Jim Flaherty, ...
  3. Zombies

    Companies that continue to operate even though they are insolvent or near bankruptcy. Zombies often become casualties to ...
  4. Witching Hour

    The last hour of stock trading between 3pm (when the bond market closes) and 4pm EST. Witching hour is typically controlled ...
  5. October Effect

    The theory that stocks tend to decline during the month of October. The October effect is considered mainly to be a psychological ...
  6. Repurchase Agreement - Repo

    A form of short-term borrowing for dealers in government securities.
Trading Center