Basis

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Revision as of 15:27, 4 August 2022 by imported>Doug Williamson (Add link.)
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1. Market conventions.

The method or convention under which a value or price has been calculated.

Sometimes known as the base.


2. Risk identification.

Abbreviation for basis risk.


3. Futures markets.

In futures markets, the price differential between (1) the price of the asset underlying the futures contract and (2) the price of the futures contract.


See also