Tagged: Expiry Date, lot size, Margin, MTM, Premium, Strike Price
- This topic has 327 replies, 320 voices, and was last updated 2 years, 8 months ago by Divya E R.
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February 18, 2017 at 7:07 PM #67650
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Margin is the upfront caution deposit amount (Collect from both buyer and sellers) to be paid to stock exchange  for future market</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>MTM is known as Market to Market which means that the profit and loss in a future market is settled on a day to day basis from the caution deposit(Margin).</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Premium – A Amount should given by buyer to seller to buy a Contract</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Strike price – The amount quoted in the contract between the buyer or seller whether it may higher value or lower value ,It Triggering price</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Expiry date – The date in which the contract gets over .In that date settlement have to be done</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>lot size – Total number of shares</p>February 19, 2017 at 4:54 AM #67827margin: the price agreed by the buyer and seller in future contract.
market to market: the daily settlement done by the exchange on basis of market price to buyers and sellers.
premium: is the amount buyer pays to seller to get the contract signed.
strike price: the price agreed by the buyer or seller in option market.
expiry date: is the last date to make settlement.
lot size: is the quantity of shares.
February 19, 2017 at 8:02 PM #67999Margin – A small amount i.e. Caution deposit paid to the exchange when buying future contracts to honor obligations
MTM is known as Market to Market which means that the profit and loss in a future market is settled on a day to day basis from the caution deposit(Margin).
Premium amount is decided by the seller and buyer to enter into call/put options
Strike Price is the triggering price which is mentioned in the contract. Buyer get profit if the price go higher than strike price vice versa seller get profit if the price go below the strike price
Expiry date is the maturity date at which the trade will be executed.
Lot size – No of shares binded within the future contract
February 20, 2017 at 11:38 AM #68210Margin: The deposit amount paid to exchange by both buyer and seller to sign the future contract, which is refundable.
MTM – Mark to Market : Day to day leveling of  price movement. Profit/loss will be realised on daily basis.
Premium – The money paid to seller of the contract for signing the option contract.
Strike Price- The agreed price printed in the option contract.
Expiry Date- The maturity date/ the validity date mentioned in the contract.
Lot size – Number of shared covered in the contract.
February 20, 2017 at 9:06 PM #68426<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Margin: The deposit amount paid to exchange to sign (trade) the future contract.</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>MTM – Mark to Market : Profit/loss will be realized on daily basis.</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Premium – The money paid by buyer to seller  for signing the option contract.</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Strike Price- The agreed price printed in the option contract.</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Expiry Date- The validity date mentioned in the contract.</p>
<p style=”box-sizing: border-box; margin: 0.85em 0px; direction: ltr; color: #777777; font-family: ‘Roboto Slab’; font-size: 13px;”>Lot size – Number of shared in a contract.</p> -
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