Close out: Difference between revisions
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imported>Doug Williamson (Add link.) |
imported>Doug Williamson (Add link.) |
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== See also == | == See also == | ||
* [[Close]] | |||
* [[Forward contract]] | * [[Forward contract]] | ||
* [[Futures contract]] | * [[Futures contract]] |
Latest revision as of 08:28, 24 August 2022
Derivative instruments - early termination.
Close out is the early termination of an obligation under a derivative instrument, before the normal final maturity.
For example, for a futures contract this means taking a second offsetting position in order to remove the delivery obligation.