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EFP

It stands for exchange of futures for physicals. By definition, it is a transaction that involves simultaneously taking a cash…

Cash Futures Swap

A transaction that involves simultaneously taking a cash position and futures position on the same underlying. That means, a position taken…

PCFP

It stands for put-call-futures parity; the relationship between the prices of calls (call options), puts (put options), and futures (futures…

Synthetic Short Futures

A synthetic futures which is created by combining a short call option and a long put option on the same...

Short Position

When the investor is pessimistic (bearish) on the price of an asset, on expectation its the price will fall, he...