Spot market – Buyer and seller makes a deal and settlement execute the trade at same time.
Future market – Buyer and seller makes a deal now and makes a settlement and execute the trade at different time.
Margin – caution deposit given to the seller.
MTM – Fluctuational amount has the buyer beneficial to get from/supposed to pay to the seller.
Premium- Gives money to the seller to sign the contract.
Future contract – Buyer has the right with obligation.
Option contract- Buyer has the right with no obligation.
Call option – Buyer has the right to buy with no obligation.
Put option – Buyer has the right to sell with no obligation.
, , Futures and Options, call and put option, Future and Option contract, Margin / MTM / Premium / Strike Price / Expiry Date / lot size, Spot markets
