Options On Futures

Filed Under » , , ,
Dictionary Says

Definition of 'Options On Futures'

An option on a futures contract gives the holder the right to enter into a specified futures contract. If the option is exercised, the initial holder of the option would enter into the long side of the contract and would buy the underlying asset at the futures price. A short option on a futures contract lets an investor enter into a futures contract as the short who would be required to sell the underlying asset on the future date at the specified price.  
Investopedia Says

Investopedia explains 'Options On Futures'

Essentially, the futures specified in the option contract allows someone to enter into the specified futures contract when the option expires.

Related Definitions

Search results for

'Options On Futures'

  • Options And Futures Frequently Asked Questions | Investopedia

    http://www.investopedia.com/ask/options-and-futures/
    A comprehensive list of Investopedia’s FAQs covering the topic of Options And Futures
    in reverse chronological order by date published. ... Options And Futures. ...

  • Options On Futures: A World Of Potential Profit

    http://www.investopedia.com/articles/optioninvestor/02/061302.asp
    There's one simple hurdle in the transition from stock to futures
    options: learning about product specifications. ...

  • Offset Risk With Options, Futures And Hedge Funds

    http://www.investopedia.com/articles/trading/09/offset-risk-options-futures-hedge-funds.asp
    Offset Risk With Options, Futures And Hedge Funds. June 04 2009 | Filed Under »
    Active Trading, ETNs, Futures, Hedge Funds, Options. ...

  • S&P 500 Options On Futures: Profiting From Time-Value Decay

    http://www.investopedia.com/articles/optioninvestor/02/071702.asp
    S&P 500 Options On Futures: Profiting From Time-Value Decay. ... He co-authored "Options
    on Futures: New Trading Strategies and Options on Futures Workbook" (2001). ...

  • What is the difference between options and futures?

    http://www.investopedia.com/ask/answers/05/060505.asp
    The main fundamental difference between options and futures lies in the obligations
    they put on their buyers and sellers. An option gives the buyer. ...

  • Options and Futures: You Already Trade Them - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0210/Options-and-Futures-You-Already-Trade-Them.aspx
    ... Options and Futures: You Already Trade Them. ... Adjustable Rate.). Auctions An auction
    is another real-world example of futures and options contracts. ...

  • What is the difference between an options contract and a futures ...

    http://www.investopedia.com/ask/answers/09/options-vs-futures.asp
    Both futures and options trading are considered advanced forms of market trading,
    and require additional training or the use of a specialist in the. ...

  • The History Of Options Contracts

    http://www.investopedia.com/articles/optioninvestor/10/history-options-futures.asp
    Options and futures didn't originate with Wall Street power brokers. ... In fact, options
    and futures contracts did not originate on Wall Street at all. ...

  • Combining Forex Spot And Futures Transactions

    http://www.investopedia.com/articles/forex/08/forex-spot-futures-options.asp
    ... The interrelationship between the currency spot and options and futures
    currency markets is rarely exploited by retail traders. ...

  • Options Greeks: Introduction | Investopedia

    http://www.investopedia.com/university/option-greeks/
    ... OptionsNerd.com LLC. He co-authored "Options on Futures: New Trading Strategies
    and Options on Futures Workbook" (2001). He is also ...

Related Articles

Partner Links