Tag Archives : derivative contracts

What do you understand by Open Interest?

What do you understand by Open Interest?

Posted by on August 6, 2009 · 0 Comment

Open interest are also referred to as open contracts or open commitments. The total number of derivative contracts are denoted by them, like futures and options, that are currently active on a specific underlying security. The flow of money into the futures market is measured by open interest. There must be a buyer of that contract for each…

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