index futures

A futures contract on a financial futures market, such as the London International Financial Futures and Options Exchange, which offers facilities for trading in futures and options on a financial index. On the FTSE 100 Index (see Financial Times Share Indexes) the trading unit is £25 per index point; thus if a futures contract is purchased when the index stands at 2400, say, the buyer is covering an equivalent purchase of equities of £60, 000 (£25 × 2400). If the index rises 100 points the purchaser can sell a matching futures contract at this level, making a profit of £2500 (£25 × 100). See also portfolio insurance

Big dictionary of business and management. 2014.

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  • index futures — are based on the projected movement of a share price index, such as the FTSE 100. London Stock Exchange Glossary * * * index futures index futures ➔ futures * * * index futures UK US noun [plural] FINANCE ► futures (= agreements to buy or sell… …   Financial and business terms

  • Index Futures — A futures contract on a stock or financial index. For each index there may be a different multiple for determining the price of the futures contract. For example, the S P 500 Index is one of the most widely traded index futures contracts in the U …   Investment dictionary

  • index futures — Fin a futures contract trading in one of the major stock market indices such as the FTSE 100. See also Dow Jones Averages, FTSE index …   The ultimate business dictionary

  • index futures — plural noun contracts to buy a range of shares at an agreed price but delivered and paid for later …   English new terms dictionary

  • stock index futures — Based on stock market indexes, including Standard and Poor s 500, Value Line, NYSE Composite, Nikkei 225, the Major Market Index, and the Over the Counter Index, these instruments are used by investors concerned with price changes in a large… …   Financial and business terms

  • China Stock Index Futures — China Shanghai Shenzhen 300 Stock Index Futures[1][2], often abbreviated to Hushen 300 Index (Shanghai is commonly abbreviated in Chinese as Hù,and Shenzhen is abbreviated as shēn), designated by the commodity ticker symbol IF, is a stock market… …   Wikipedia

  • narrow-based index futures — are futures contracts whose underlying index is comprised of stocks in a particular industry, such as airlines, or telecoms. Compare this with broad based index futures whose stocks span the entire market. The CENTER ONLINE Futures Glossary …   Financial and business terms

  • share index futures — UK US noun [plural] FINANCE, STOCK MARKET ► STOCK INDEX FUTURES(Cf. ↑stock index futures) …   Financial and business terms

  • stock-index futures — noun a futures contract based on a stock index; a bet on the future price of the indexed group of stocks • Hypernyms: ↑futures contract …   Useful english dictionary

  • stock index futures — …   Useful english dictionary

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