An order (buy or sell order) that is executed by a commodity pool operator or an advisory firm on behalf of a large number of clients. This is usually done by entering a sizable order that aggregates the amounts ordered by individual clients and then allocating the contracts to respective client accounts. For example, if an advisory firm expects the stock market would perform better over the course of next quarter, it may select to position a number of clients in a specific index futures. It would purchase 300 futures contracts for this specific group of clients and will assign to each client a number of the future contracts.
This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
Comments