| Bear Market (Bear/Bearish) |
A market in which prices are declining. A market participant who believes prices will move lower is called a "bear."A news item is considered bearish if it is expected to result in lower prices |
| Beta |
The beta reflects the sensitivity of a share or portfolio relative to the overall market development |
| Bid |
Indicated willingness to purchase at a specified price |
| Broker |
A regulated professional who charges a fee or commission for executing buy and sell orders submitted by an investor |
| Bull Market (Bull/Bullish) |
A market in which prices are rising. A market participant who believes prices will move higher is called a “bull.”A news item is considered bullish if it is expected to result in higher prices |
| Bursa Malaysia |
An exchange holding company approved under Section 15 of the Capital Markets and Services Act 2007. It operates a fully-integrated exchange, offering the complete range of exchange-related services including trading, clearing, settlement and depository services. (Formerly known as Kuala Lumpur Stock Exchange) |
| Bursa Malaysia Derivative Exchange |
A subsidiary of Bursa Malaysia Berhad which provides, operates and maintains a futures and options exchange |
| Cash Market |
The underlying market of a futures product |
| Cash Settlement |
A method of settling certain futures or options contracts whereby the market participants settle in cash (rather than delivery of the commodity) |
| CBOT Corn Futures (ZC) |
A type of futures contract where the underlying instrument is corn and is traded in the Chicago Mercantile Exchange |
| CBOT DJIA ($10) Futures (ZD) |
A type of futures contract where the underlying instrument is the Dow Jones Index and is traded in the Chicago Mercantile Exchange |
| CBOT E-Mini Dow ($5) Futures (YM) |
A type of futures contract where the underlying instrument is the E-Mini Dow and is traded in the Chicago Mercantile Exchange |
| CBOT Oats Futures (ZO) |
A type of futures contract where the underlying instrument is oat and is traded in the Chicago Mercantile Exchange |
| CBOT Soybean Futures (ZS) |
A type of futures contract where the underlying instrument is soybean and is traded in the Chicago Mercantile Exchange |
| CBOT Soybean Meal Futures (ZM) |
A type of futures contract where the underlying instrument is soybean meal and is traded in the Chicago Mercantile Exchange |
| CBOT Soybean Oil Futures (ZL) |
A type of futures contract where the underlying instrument is soybean oil and is traded in the Chicago Mercantile Exchange |
| CBOT Wheat Futures (ZW) |
A type of futures contract where the underlying instrument is wheat and is traded in the Chicago Mercantile Exchange |
| Charting |
The use of graphs and charts in the technical analysis of futures markets to plot price movements, volume, open interest or other statistical indicators of price movement |
| Chicago Mercantile Exchange (CME) |
An American financial and commodity derivative exchange based in Chicago |
| Clear |
The process by which a clearinghouse maintains records of all trades and settles margin flow on a daily mark-to-market basis for its clearing members |
| Closing Price |
Refer to Settlement Price |
| CME Crude Palm Oil Futures (CPO) |
A type of futures contract where the underlying instrument is crude palm oil and is traded in the Chicago Mercantile Exchange |
| CME E-Mini Nasdaq-100 Futures (NQ) |
A type of futures contract where the underlying instrument is the E-Mini Nasdaq-100 and is traded in the Chicago Mercantile Exchange |
| CME E-Mini S&P 500 Futures (ES) |
A type of futures contract where the underlying instrument is the E-Mini S&P 500 and is traded in the Chicago Mercantile Exchange |
| CME Frozen Pork Bellies Futures (GPB) |
A type of futures contract where the underlying instrument is pork bellies and is traded in the Chicago Mercantile Exchange |
| CME Live Cattle Futures (LE) |
A type of futures contract where the underlying instrument is live cattle and is traded in the Chicago Mercantile Exchange |
| CME Nasdaq-100 Futures (ND) |
A type of futures contract where the underlying instrument is the Nasdaq-100 and is traded in the Chicago Mercantile Exchange |
| CME Nikkei 225 ($) Futures (NKD) |
A type of futures contract where the underlying instrument is the Nikkei 225 and is traded in the Chicago Mercantile Exchange |
| CME S&P 500 Futures (SP) |
A type of futures contract where the underlying instrument is the S&P 500 and is traded in the Chicago Mercantile Exchange |
| COMEX Copper Futures (HG) |
A type of futures contract where the underlying instrument is copper and is traded in the Chicago Mercantile Exchange |
| COMEX Gold Futures (GC) |
A type of futures contract where the underlying instrument is gold and is traded in the Chicago Mercantile Exchange |
| COMEX Silver Futures (SI) |
A type of futures contract where the underlying instrument is silver and is traded in the Chicago Mercantile Exchange |
| Contract |
A term reference describing a unit of trading for a financial futures Also, the actual bilateral agreement between the buyer and seller of a futures transaction as defined by an exchange |
| Contract Month |
The month in which delivery is to be made in accordance with the terms of the futures contract also referred to as Delivery Month |
| Copper Grade A Futures (CA) |
A type of futures contract where the underlying instrument is copper grade A and is traded in the London Metal Exchange |
| Corporate Social Responsibility |
A decision-making and implementation process that guides all company activities that involves a commitment to contribute to the economic, environmental and social sustainability of communities through the on-going engagement of stakeholders, the active participation of communities impacted by company activities and the public reporting of company policies and performance in the economic, environmental and social arenas. |
| Crude Palm Kernel Oil Futures (FPKO) |
A type of futures contract where the underlying instrument is crude palm kernel oil and is traded in the Bursa Malaysia Derivative Exchange |
| Crude Palm Oil Futures (FCPO) |
A type of futures contract where the underlying instrument is crude palm oil and is traded in the Bursa Malaysia Derivative Exchange |
| First Notice Day |
The first day on which notice of intent to deliver a commodity in fulfillment of an expiring futures contract can be given to the clearinghouse by a seller and assigned by the clearing |
| FTSE Bursa Malaysia KLCI Futures (FKLI) |
A type of futures contract where the underlying instrument is FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) and is traded in the Bursa Malaysia Derivative Exchange |
| FTSE Bursa Malaysia KLCI Options (OKLI) |
A type of options contract where the underlying instrument is Kuala Lumpur Composite Index (KLCI) and is traded in the Bursa Malaysia Derivative Exchange |
| Fundamental Analysis (Futures) |
An analysis that focuses on the overall state of the economy, interest rates, production, earnings, and management |
| Futures Contract |
A legally binding agreement to buy or sell a commodity or financial instrument at a later date. Futures contracts are standardized according to the quality, quantity and delivery time and location for each commodity |
| Managed Accounts |
A managed account is a portfolio of securities that are chosen and traded by a professional asset manager on the client's behalf |
| Margin |
An amount of money deposited by both buyers and sellers of futures contracts and by sellers of options contracts to ensure performance of the terms of the contract (the making or taking delivery of the commodity or the cancellation of the position by a subsequent offsetting trade). Margin in commodities is not a down payment, as in securities, but rather a performance bond |
| Margin Call |
A call from a clearinghouse to a clearing member, or from a broker or firm to a customer, to bring margin deposits up to a required minimum level |
| Maintenance Margin |
A set minimum margin (per outstanding futures contract) that a customer must maintain in his margin account to retain the futures position |
| Margin Requirement |
A collateral that the holder of a financial instrument has to deposit to cover some or all of the credit risk of his counterparty (most often his broker or an exchange) |
| Market Capitalization |
The total value of a listed company's shares based on current market price |
| Mark-to-Market |
Daily evaluation of open futures contract(s) that an investor holds to reflect profit / losses. All futures positions are marked-to-market using the settlement price |
| Market Order |
An order to buy or sell a futures or options contract at whatever price is obtainable when the order reaches the trading floor |
| Mini Hang Seng Index Futures (MHI) |
A type of futures contract where the underlying instrument is the Mini Hang Seng Index and is traded in the Hong Kong Exchanges and Clearing Limited |
| Money Laundering |
The practice of engaging in financial transactions to conceal the identity, source, or destination of illegally gained money |
| MSCI Singapore Index Futures (SG) |
A type of futures contract where the underlying instrument is the MSCI Singapore Index and is traded in the Singapore Exchange |
| MSCI Taiwan Index Futures (TW) |
A type of futures contract where the underlying instrument is the MSCI Taiwan Index and is traded in the Singapore Exchange |
| Nikkei 225 Index Futures (NK) |
A type of futures contract where the underlying instrument is the Nikkei Index and is traded in the Singapore Exchange |
| Notice Day |
Any day on which a clearinghouse issues notices of intent to deliver on futures contracts |
| NYMEX Cocoa Futures (CJ) |
A type of futures contract where the underlying instrument is cocoa and is traded in the Chicago Mercantile Exchange |
| NYMEX Coffee Futures (KT) |
A type of futures contract where the underlying instrument is coffee and is traded in the Chicago Mercantile Exchange |
| NYMEX Cotton Futures (TT) |
A type of futures contract where the underlying instrument is cotten and is traded in the Chicago Mercantile Exchange |
| NYMEX Heating Oil Futures (HO) |
A type of futures contract where the underlying instrument is heating oil and is traded in the Chicago Mercantile Exchange |
| NYMEX Light Sweet Crude Oil Futures (CL) |
A type of futures contract where the underlying instrument is light sweet crude oil and is traded in the Chicago Mercantile Exchange |
| NYMEX Sugar No. 11 Futures (YO) |
A type of futures contract where the underlying instrument is sugar and is traded in the Chicago Mercantile Exchange |
| Settlement Price |
The last price paid for a futures contract on any trading day Settlement prices are used to determine open trade equity, margin calls and invoice prices for deliveries |
| Short |
One who has sold a futures contract(s) to establish a market position |
| Singapore Exchange (SGX) |
An investment holding company located in Singapore and providing different services related to securities and derivatives trading and others |
| Single Stock Futures (SSFs) |
A type of futures contract where the underlying instrument are Selected stocks that have met the SSF selection criteria and is traded in the Bursa Malaysia Derivative Exchange |
| Speculator |
A market participant who tries to profit from buying and selling futures and options contracts by anticipating future price movements Speculators assume market price risk and add liquidity and capital to the futures markets |
| Spot |
Usually refers to a cash market price for a physical commodity that is available for immediate delivery |
| Spot Month |
Refers to the nearest delivery month of a futures contract |
| Spreading |
The simultaneous buying and selling of two related markets or commodities in the expectation that a profit will be made when the position is offset |
| Stop Order |
An order that becomes a market order when the futures contract reaches a particular price level A sell stop is placed below the market, a buy stop is placed above the market |
