In respect of derivatives, the settlement of futures and options contracts for cash instead of settlement involving the physical transfer of goods. Typically used for index-based products such as the FTSE 100 future and option. In respect of securities, the settlement one business day after the day of trade.

Termination with cash rather than physical delivery of some real good. For example, a futures contract on a stock market index is cash settled, the alternative being to take delivery of every stock in the index.

A fair amount of Exchange based options are physically settled, i.e. a Vodafone option on LIFFE is settled in Vodafone shares. But ALL spread bet options are settled in cash without question.

Settlement in cash on the trade date rather than the settlement date.

Some derivatives contracts are settled at maturity (or before maturity at closeout) by an exchange of cash from the party who is out-of-the-money to the party who is in-the-money.

A method of delivering a futures contract by calculating the worth of the physical commodity represented by the contract and meeting both buyer's and seller's obligations by an exchange of money instead of the physical commodity.

Spot and futures contract settlement procedure where instead of taking physical delivery, profits or losses are settled in cash.

Cash settlement contracts Cash surrender value

Payment for transactions on the due date as distinct from carry forward (Badla) from one settlement period to the next.

The settlement on some options and futures contracts that do not require delivery of the underlying security. For options, the difference between the settlement price on the underlying asset and the option exercise price is paid to the option holder at exercise. For futures contracts, the exchange establishes a settlement price on the final day of trading and all remaining open positions are marked to market at that price.

The process by which a dollar adjustment rather than a physical instrument is used to satisfy the delivery requirement of a given contract at expiration.

The cash payment made by SG to a warrant holder following the exercise of a warrant. The settlement amount is equal to the intrinsic value, calculated in the manner described in the Pricing Supplement.

Applies to the expiration of quarterly index options and futures contracts. There is no delivery of securities, and the full value of the contract is not transferred. Final settlement will occur on the morning following the last day of trading when all open positions will be marked to a Special Opening Quotabon based on the component stocks in the S&P 500 Index. Expiring options that are in the-money based on the Special Opening Quotation will be automatically exercised. This results, in effect, in cash settlement for the in-the-money amount.

Month futures of EEX are not settled through physical delivery, they are rather settled financially by means of a cash settlement. The seller (buyer) is obliged to compensate the difference between the price agreed on and a higher (lower) final settlement price in cash.

Settlement of a contract by payment or receipt of a settlement amount instead of the physical delivery of the underlying asset.

Final disposition of open positions on the last trading day of a contract month. Occurs in markets where there is no actual delivery.

Settlement of an option contract not by delivery of the underlying shares, but by a cash payment of the difference between the strike or exercise price and the underlying settlement price.

In relation to the futures market, where settlement involves payment or receipt of the difference between the settlement price and the agreed future price.

Is the practice of making a final cash payment or adjustment for an open position. This process differs from early or traditional futures markets that required either a futures contract offset or the delivery of a physical commodity. The cash settlement process recognizes the insurability factor of risk management products. This trend towards cash settlements reduces instability due to squeezes, weather, or other disruptive variables.

procedure for settling contracts in cash rather than delivering the underlying instrument.

Transactions generally involving index-based futures contracts that are settled in cash based on the actual value of the index on the last trading day, in contrast to those that specify the delivery of a commodity or financial instrument.

A procedure for settling futures contract where the cash difference between the future and the market price is paid instead of physical delivery.

Payment for transactions done in one settlement on the due date.

A fair amount of Exchange based options are physically settled, i.e. a Vodafone option on LIFFE is settled in Vodafone shares. However an option on the FTSE 100 will be settled in cash

In the case of index options contracts where it is impossible or impractical to effect physical delivery, open positions are closed out on the day of exercise or the last day of trading at a price determined by the underlying index level.

Settlement of options and futures contracts that do not require delivery of the underlying security. The option holder is paid the difference between the settlement price on the underlying asset and the option's exercise price. For futures contracts, the exchange establishes a settlement price on the final day of trading and al remaining open positions are marked to market at that price.

The most prompt form of settlement of a trade involving payment the same day or business day following trading without waiting for usual trade/settlement cycles to pass

The process by which the terms of an option contract are fulfilled through the payment or receipt in dollars of the amount by which the option is in-the-money as opposed to delivering or receiving the underlying stock.

A method of settling certain futures or option contracts whereby the seller (or short) pays the buyer (or long) the cash value of the commodity traded according to a procedure specified in the contract.

Cash paid in a claims settlement for loss or damage to property.

A transaction settled in cash payment (rather than the physical delivery of a commodity) depending on profit or loss.

The settlement on some types of options and futures contracts that does not need the sale of that security.

A delivery made and settled on the day of the transaction for government securities.