Eligible Contract Participant
Definition of 'Eligible Contract Participant'A group or individual allowed to engage in financial transactions not open to retail customers. The Commodity Exchange Act outlines the requirements for eligibility, stating that those seeking to become eligible contract participants must have sufficient regulated status or a specified amount of assets. |
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Investopedia explains 'Eligible Contract Participant'Eligible contract participants include financial institutions, insurance companies, commodity pools and wealthy individuals. These participants are authorized to engage in complex stock or futures transactions such as block trades, exchanging excluded commodities and transacting on a derivatives transaction execution facility. Becoming an eligible contract participant provides a person or group with a wider range of investment choices and financial options than would be available to a standard investor. |
Related Definitions
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Commodity Futures Trading Commission - CFTC
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Commodity
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Block Trade
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Commodity Exchange Act - CEA
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Domestic Box Office Receipt (DBOR) Futures ...
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Range Forward Contract
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LIBOR-in-Arrears Swap
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Howard-D'Antonio Strategy
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