Definitions Flashcards
Definitions and Terminology
Floor Broker
Work on the floor of an exchange and fill orders from thier own Inventories or match incoming buy and sell orders from customers.
Floor Trader
Trade thier own accounts on trading floor.
“Also called locals”
Clearing Houses
Affilated with Future Exchanges, they ensure financial integrity of the market place by guranteeing futures trades. “They are a counter-party”
IMM
Part of the CME Group, trades currencies and interest rate futures.
The CME Group
Worlds largest Futures and Options Exchange.
Closing Range
A range of prices at which future transactions took place during the close of the market.
Settlement Date
Last trade of the day.
Tick
Minimal price change for a particular contract.
Clearing Member
A firm that is a member of a clearing house associated with an exchange and has responsibilty for settling customer trades.