Index Settlement For Free

Daily Mark-to-Market Settlement The positions in the futures contracts for each member is marked-to-market to the daily settlement price of the futures contracts at the end of each trade day.

It is commonly determined by the price of the final trade prior to the closing bell or by averaging the spot price in the final minutes of a trading session.Taking the average of these market prices in the last three minutes of trading gives us a settlement price of $97.66.

Index options are financial derivatives based on stock indices such as the S&P 500 or the Dow Jones Industrial Average. Index options give the investor the right to buy or sell the underlying stock index for a defined time period.To make the opposite bet on the index going down, an investor buys the put option.

Profits and Loss from Index Futures Equity index futures are cash settled, meaning there's no delivery of the underlying asset at the end of the contract. If on expiry the price of the index is higher than the agreed-upon contract price, the buyer has made a profit, and the sellerthe future writerhas suffered a loss.

Settlement prices are essentially the fair market value of a commodity or financial derivative as determined by buyers and sellers in a market at a particular point in time known as the settlement period.

The last traded price of the day is the actual last traded price. The closing price of the day on NSE is the weighted average price of the last 30 mins of trading. The closing price and settlement price will remain the same for liquid contracts.

The closing price is usually considered the last price traded within trading hours and the settlement price is the official price of the contract used to mark traders' books to market.