Investing terms

Trading made simple
  • Home

Convergence

April 30, 2019 by Investor

Convergence
Generally, the contract cost of a future contract is advanced compared to the existing cost of an underlying asset. The future contract cost is high due to the effect of money’s value. As the expiry date comes nearer, the difference between thespot cost and future start contracting which in turn makes the cost smaller. At the time of delivery of the agreement, the spot costs and futures should be similar. This procedure of spot costs and futures approaching each other is known as convergence.

Related posts:

  1. Futures Contract – What is a Futures Contract?
  2. Gold Contract – What is a Gold Contract?
  3. Forward – What is a Forward in forex?
  4. Forward
  5. What Are Forex Trading Futures – learn forex trading
  6. Cash Market – What is the Cash Market?
  7. Delivery – What is Delivery in forex?
  8. Forward Points – What are Forward Points?

Filed Under: Education, Uncategorized

LMFX PAMM

Ads

img

Categories

  • EasyMarkets
  • Education
  • ETX Capital Review
  • Featured Terms
  • Forex brokers
  • Forex Exness
  • Freshforex Review
  • Fxpro
  • Terms
  • Uncategorized
  • XM forex broker
  • Xtrade Review
  • Zulutrade Review

Choose foreign language section

  • الاستثمار حيث
  • পদ বিনিয়োগ
  • 投资条款
  • Investitionen Begriffe
  • शर्तें निवेश
  • Conditions investir
  • Investire termini
  • 用語を投資
  • Investir termos
  • Términos invertir
  • Инвестирование условия
  • Terimleri Yatırım
Copyright wikifx.info 2013