Fair value

Fair value is a theoretically correct and fair price for an option, at which the likelihood of profit and loss are in balance. There are various models for calculating the fair value.

Final trading day

The final trading day is the last day on which the financial instrument may be traded on the stock exchange.


A futures contract, or future, is a standardised, exchange-traded contract in which the buyer and seller agree to buy or sell a certain quantity of an underlying at a fixed price on maturity.


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